Saudi Arabia

Emerging market bond prices have begun to stabilise following the recent rout. The brief spell of stability before Thursday's Thanksgiving holiday in the US will come as welcome relief to the three issuers in the market on Wednesday.

Saudi Arabia's International Company for Water and Power Projects (ACWA Power) is lining up the first corporate bond from the country since the sovereign’s $17.5bn debt sale in October. The issuer has a tricky market calendar to navigate but plans to print the $1bn deal before year end, and is expected to offer a pick-up over the sovereign.

CEEMEA borrowers raised $37bn of euro and dollar bonds in October, making it the busiest month on record.

There is no doubt that Saudi Arabia’s $17.5bn bond placement last week was a success. But while the country’s Vision 2030 plan is an attractive narrative, it is too simplistic to think of it as a handbook to economic recovery. Investors should be wary.

Saudi Electricity Company has signed a $420m loan from Crédit Agricole and Santander as growing domestic funding needs open up more opportunities for international banks.

Saudi Arabia’s record breaking international triple trancher, priced Wednesday, heralded the start of a new era for the Gulf’s largest economy as it embarked on a future away from oil. The remarkable $17.5bn debut — the largest ever syndicated sovereign bond — swept up $63bn of global interest this week, which is just as well given the economic task that lies ahead for the country, writes Virginia Furness.

Saudi Arabia’s $17.5bn triple tranche bond was performing well on Thursday morning, tightening 10bp across the curve, and bringing the rest of the region along with it — an impressive feat considering Saudi printed at tighter levels than rival bankers, and investors, were expecting.

I’ve always considered myself a gent of superior taste and class. While I’m not averse to hanging out with the hoi polloi, I think it is no exaggeration to say that I’m considered one of Hong Kong’s respected elder statesmen.

Saudi Arabia’s debut bond was met on Wednesday with enormous demand as investors poured in over $67bn of orders for the triple trancher by mid-morning. The deal, set at $17.5bn, will be the biggest emerging markets sovereign bond ever as one EM specialist questioned how the 30 year piece in particular could be priced so tight.

The CEEMEA bond market exploded into life this week in what will be one of the busiest of the year. Saudi Arabia is leading the action with its much-anticipated bond but Turkey made an impressive comeback with four of its banks in the market following Friday’s sovereign trade. Further supply from Poland, Russia, the Middle East and Africa is adding plenty of diversity for investors.

As Middle Eastern countries reconfigure to lower oil prices, their funding needs could reach $560bn between 2015-2019, said S&P Global Ratings in a report on Monday.

Japanese technology giant SoftBank and the Public Investment Fund of Saudi Arabia have agreed to set up a UK-based technology fund for up to $100bn and have employed former bankers from Deutsche Bank and Goldman Sachs to help with the project.