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  • A new securitisation market was born this week with the completion of Taiwan's first asset backed deal. Over a year after SG and the Industrial Bank of Taiwan (IBT) signed an agreement to help develop the country's ABS market, the resultant NT$3.59bn collateralised loan obligation finally reached the market this week. International bankers have long hoped that Taiwan would become the next Korea. It has a large, well developed domestic bond market, and a broad range of suitable asset classes.
  • Australia Transurban Group, the largest toll road operator in the State of Victoria, is planning to raise A$430m through the sale of convertible preferred stock to help fund its portion of the Sydney Western Orbital road project.
  • Toshihiko Fukui was appointed new governor of the Bank of Japan, the central bank, this week and officially starts the job on March 30. He is widely considered to be a conservative, opposed to radical moves to force Japan's archaic financial system into the modern world. The first task he faces will be the accelerated write off of the commercial banks' non-performing loans.
  • Hannstar Display sold $150m of notes this week in a deal that was more than twice covered. Joint leads Credit Suisse First Boston and ING took less time than even they expected to price the $125m convertible, then increased the deal to $150m as 96 investors crowded into the books. There is also a $20m greenshoe that could be exercised.
  • Morgan Stanley has priced a ¥15.05bn securitisation of commercial mortgages, the sixth in its JLOC programme. JLOC VI refinances a loan extended by the bank and secured on 25 residential properties.
  • HSBC and Royal Bank of Scotland have clinched the mandate to arrange the debt facilities for ABN Amro Private Equity's £263m proposed bid for Pizza Express. PAI Management is the opposing bidder for the restaurant chain. Hugh Osmond was also in the running before his £250m buy-back offer failed.
  • BNP Paribas and Barclays have won the mandate to arrange a Eu500m three year revolver for Electricidade de Portugal (EdP) and have launched the deal to market. Banks have been offered three levels of participation: Eu50m for 20bp, Eu40m for 17.5bp or Eu20m for 15bp.
  • Mandated arranger Sumitomo hopes to launch the Eu100m five year EIB guaranteed facility for Polish telco TPSA into syndication next week. For more details see EuroWeek 791.
  • Two well attended bank meetings were held this week for the $700m 14 year loan for Oryx GT Limited. The first was in London on Tuesday and the second in Dubai yesterday (Thursday). The deal was launched into syndication last week. Three tickets are on offer: arranger for a take of $30m for a fee of 75bp; lead manager for a take of $15m for 60bp; and manager for a ticket of $10m for a fee of 50bp. For more details see EuroWeek 789.
  • Rating: Aa2/AA Amount: $300m
  • Companies need to issue equity-linked debt at a rate of $8bn a month for the next two years, to avoid the market shrinking as a result of redemptions, according to a report published this week by UBS Warburg. According to the research, some 37% of the convertibles market - equal to $190bn - will have been put or redeemed by the end of 2004.
  • Rating: Baa3/BB+/BB+ Amount: $348.5m (fungible with $451.5m issue launched 17/10/02)