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Credit Suisse First Boston and Deutsche Bank have launched syndication of a $575 million "C" term loan for specialty chemical maker Noveon. The six-year credit is to refinance existing debt and price talk is in the LIBOR plus 23/4-3% range. Noveon reported $865.9 million in total debt as of last March, with $499 million outstanding on its "B" loan and $73 million outstanding on its "A" loan. Bankers at CSFB and Deutsche Bank did not return calls before press time.

A $1.1 billion refinancing for dialysis company DaVita hit the market last week. The deal, led by Credit Suisse First Boston, includes a six-year, $842 million "C" loan priced at LIBOR plus 21/2%. There is also a four-year pro rata component that includes a $144 million "A" loan and a $115 million revolver priced at LIBOR plus 21/4%. There is a 50 basis point up-front fee on the revolver. A CSFB banker did not return calls and an official at DaVita could not be reached by press time.

Deutsche Bank's par loan desk has been making some personnel changes and is retooling part of its sales effort to focus on banks. The firm recently moved Michael Curry and Kevin Dooley, both v.p.s and desk analysts on the par loan desk, to the par loan sales team. The duo filled the open slots left when Kevin Latimer, a former director in loan sales, jumped to UBS Warburg in March and Dan Hagerman, a managing director in the firm's senior debt capital markets group, took a leave of absence about a month ago. Curry will focus on institutional clients and Dooley will focus exclusively on banks. Daniel Toscano, managing director and head of senior debt capital markets, said now that Deutsche Bank is focused on the needs of commercial banks, this will allow its relationships with these clients to be multifaceted. He said the change in strategy is part of the firm's overall commitment to the market and the asset class, of which banks are still an integral part.

The growing number and diversity of institutional investors in the loan market today are two central factors reflecting how the market has changed from five years ago. Investor composition has changed considerably due to the influx of collateralized debt obligations entering the buyside pool, said Peter Nolan, managing director in North American credit markets at J.P. Morgan. CDOs have surged into the loan market, comprising 26% of investors compared to just 9% in 1998, Nolan explained. The number of investors has also more than doubled with about 287 now compared to 122 in 1998, he added.

Korea Highway steered its $500m 10 year debut global bond gingerly to market yesterday (Thursday), in a climate of negative investor sentiment toward Korean bonds.

The recent consolidation craze engulfing Australia's property trust market has begun to generate new bond issues.

Indonesia

Australia

Australia

United Overseas Bank (UOB) made a sensational debut in the international bond market this week when it launched a $1bn 10 year subordinated bond to voracious investor demand.

The Indonesian government scored a success this week, increasing the size of Bank Mandiri's IPO to 20% of the bank's capital to raise Rph2,700bn ($327m).

Recriminations flew after National Power Corp (Napocor) failed to launch a dollar denominated bond for the third time in 18 months.