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  • Plans for Iran's debut Eurobond have received a blow with the news that Moody's has withdrawn its rating for the sovereign, following US government concerns. According to a statement, Moody's has withdrawn its rating because of "US government concerns that such ratings could be inconsistent with US sanctions on Iran". US companies are prevented from taking any part in investment in Iran under the 1996 Iran Libya Sanctions Act.
  • With the last replies rolling in this week, the Eu110m leveraged loan supporting the buy-out of Azimut from Bipop-Carire by Apax Partners is heading for an oversubscription. As the oversubscriptions for the leveraged loans for Galbani and Lottomatica have already proved this year, Italian banks are keen to buy high yield assets for familiar local names.
  • ITI Group, the Polish media company, has mandated JP Morgan to lead a $130m flotation on the Warsaw Stock Exchange in July. The company, which has had a listing in Luxembourg since 1997, will use $100m to finance the acquisition of 33% of TVN, which it announced last Friday (May 31). ITI may also sell secondary shares to increase liquidity of the stock.
  • Jamaica will begin roadshows next week for a $200m bond issue via Citigroup/SSB and UBS Warburg. However, it is not clear what the maturity of the transaction will be. Bankers not involved in the issue told EuroWeek that the leads had guaranteed Jamaica a 30 year maturity, but that investors were not showing much interest. A reopening of Jamaica's outstanding 11.625% 20 year bond is also difficult because of the bonds' high dollar price of 109.50.
  • Arranger Mizuho Corporate Bank has completed the rollover of a ¥250bn revolving credit for Itochu Corp. Arranger Mizuho Corporate Bank pledged ¥61bn. Sumitomo Mitsui Banking Corp is a co-arranger, providing ¥40bn, and Bank of Tokyo-Mitsubishi and Sumitomo Trust & Banking Co are lead managers, contributing ¥25bn each. Another 37 undisclosed participants joined the facility.
  • Mandated arranger Natexis Banques Populaires has launched the $250m three year facility for Hurricane Hydrocarbons Ltd into syndication and the deal is being well received in the market. The borrower is controlled by Russian and Canadian investors.
  • Royal Bank of Scotland is arranging the debt facilities backing the management buy-out of Leeds-based amusement machines company Kunick. CEO Colin Daniels is taking the company private with backing from equity house Electra Partners.
  • The £1.5bn loan for Land Securities will be launched into syndication next week. Barclays Capital (joint bookrunner), Citigroup/SSSB (joint bookrunner), Lloyds (joint bookrunner, documentation and agent), and the Royal Bank of Scotland (joint bookrunner) are arranging the three year deal. There is a £500m revolver, a £300m revolver and a £700m 364 day facility with an 11 month term out. Tranche 'C' is unlikely to be syndicated.
  • Liontrust Asset Management, with its philosophy of investing in stocks that surprise analysts by continually beating earnings expectations, captured £645m in new pension fund mandates for the year ended March 31, 2002. Its most recent mandate win, awarded in April, was a £110m active equity mandate from Scottish & Newcastle pension fund, which had terminated Merrill Lynch Investment Managers' £200m mandate.
  • Arrangers United Overseas Bank and Maybank have received commitments from three banks for the facility for Malaysia Mining Corp and are waiting for another two participants to process credit approvals before joining the facility. Proceeds are for the acquisition of Port of Tanjung Pelepas. Signing is scheduled for the end of June.
  • Compiled by Richard Favis, RBC Capital Markets, Johannesburg Tel: +27 11 784 5065