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Cheap pricing and the exclusion of a public offer could not prevent Media Partners International shares from slumping yesterday (Thursday) on their first day of trading. BNP Paribas Peregrine arranged the flotation on the Growth Enterprise Market. The deal completed a difficult two weeks for outdoor advertising companies active in the China market. Three have listed in Hong Kong in recent weeks, with varying success.

National Power Corp (Napocor) was ready to give the green light for its $500m seven year bond issue today (Friday). Opinion in Asia is deeply sceptical about the rationale and cost effectiveness of the deal, which is guaranteed by the sovereign and is the first Asian issue to carry political risk insurance (PRI). Bear Stearns is acting as bookrunner, with JP Morgan participating as joint lead manager. Sovereign Risk, a subsidiary of XL Insurance is providing the PRI, which costs 40bp. The issue was originally scheduled for the third quarter of last year, but was postponed due to market conditions.

Taiwan's equity market has had a hectic week, absorbing three deals from new technology names. Credit Suisse First Boston on Tuesday priced a $175m convertible for Ritek Corp, Citibank Taipei closed a $70m deal for Chunghwa Picture Tubes last Friday, and Deutsche Bank and Merrill Lynch yesterday (Thursday) launched an issue for Macronix International. When Deutsche and Merrill went out into the market yesterday on behalf of Macronix, indicative terms showed a deal size of roughly $155m, with a $31m greenshoe. The actual size is based on conversion into 157.5m shares, and the greenshoe was calculated at 31.5m shares. By late evening Hong Kong time, the leads had priced the issue at a healthy 20% premium and a yield to put of 3.55%, equivalent to interpolated US Treasuries plus 15bp per year.

* AIG SunAmerica Funding II Rating: Aaa/AAA

Transactions increased: * Abbey National Treasury Services plc

Credit events in the US, both perceived and actual, dragged corporate spreads wider this week, making life uncomfortable for issuers seeking to access the bond markets. Having been blind to the possibility of bankruptcies such as Enron, investors now see the possibility of a credit event at every turn. With no major transactions in the dollar pipeline, the US agencies are set to dominate the sector in the next two weeks. Freddie Mac will auction a $6bn February 2005 Reference Note on February 12 and will give details, probably next week, of a 30 year issue to be sold on February 15. The same day, Fannie Mae is due to announce a two or a three year transaction. Next week should also see an announcement of callable Benchmark issuance from Fannie Mae. Nationwide Life Global Funding has awarded a mandate to ABN Amro and Credit Suisse First Boston to lead a benchmark dollar transaction in an intermediate maturity following a roadshow in Europe and the US next week. This week, the ADB made its first appearance for two years, raising $2bn in a five year global bond issue on the back of strong Asian demand, but, despite meticulous preparation, events conspired against the deal, which was also hampered by ambitious pricing. Ford Motor Credit Co dominated the euro corporate sector, raising an unprecedented Eu5bn of three year bonds, but again events took the shine off the deal, which widened in aftermarket trading to 194bp/192bp against 188bp over the Bobl at launch. Next week will be sovereign and utility week in the euro market. First to come is Portugal's syndicated 10 year OT via Banco Espirito Santo, CAI, Citigroup/ SSSB and Deutsche. The Eu2bn-Eu2.5bn transaction will mature on June 15, 2012 and bankers are expecting price talk in the region of 27bp-30bp over the January 2012 Bund. The Hellenic Republic is next in line with a Eu4bn five year benchmark to be led by Citigroup/SSSB, HSBC, Lehman Brothers and Piraeus. Bankers expect the new deal to be priced at around 5bp over the January 2007 Bund. Italy this week announced that it would be issuing a 15 year BTP for the first time via a syndicated transaction to be led by Citigroup/SSSB, ING Barings and UBM. Spain is also looking at issuing a 15 year syndicated transaction in March. On the utility front, Suez, through new entity GIE Suez Alliances, is expected imminently with a Eu1bn plus seven year transaction priced in the mid-swaps plus the high 60s area. Union Fenosa, rated A2/A, will shortly launch a Eu500m five year bond with pricing in the high 50s over mid-swaps. And EnBW, Germany's third largest utility, rated A2/A, is to launch the debut benchmark off its Eu3bn EMTN programme. The expected size is Eu1bn-Eu1.5bn, possibly split into two tranches, in seven and/or 10 years. Leads are Barclays Capital and Deutsche Bank. Meanwhile, Vattenfall is still expected to seek Eu1.5bn. Giacomelli, a European leader in sportswear retail, has awarded a mandate to AbaxBank and Banca Akros-Gruppo BPM for its debut euro offering. A Eu100m five year deal is expected at 380bp-400bp over mid-swaps. Pitney Bowes, rated Aa3/AA, has appointed Goldman Sachs to lead its debut euro bond issue, which will be of intermediate maturity. Europe's largest sugar manufacturer, Südzucker, rated A1, will launch a Eu500m fixed rate issue through Deutsche Bank. ThyssenKrupp, rated BBB, has awarded the mandate for a benchmark euro bond to CSFB and DrKW. The bond is expected to have a five to seven year maturity and to be for at least Eu750m. Northern Rock, rated A2/A, has awarded the mandate for a senior debt offering to Merrill Lynch and UBS Warburg. Meanwhile a Eu300m GIC issue for New York Life Funding, rated Aa1/AA+, will be launched today (Friday) by Goldman Sachs. n

The world's third biggest music company, EMI Group, will be swinging into the market early next week when arrangers Barclays Capital, BNP Paribas, Citigroup/ SSSB, JP Morgan and Royal Bank of Scotland launch its £1.3bn deal into syndication. Proceeds will be used to refinance bilaterals. The deal will be the music company's first step into the syndicated loan market.

* Key Bank NA Rating: A1/A/A+

Over $622 million was issued off 16 notes in US dollar. HSBC Bank USA stayed at the short end with a $250,000 one-month note and a $400,000 three-month trade. Credit Lyonnais Finance (Guernsey) issued a $10 million four-month note. Two issuers went out to one year. Landesbank Sachsen did a $20 million plain vanilla trade via Goldman Sachs. The interest is linked to 3m $Libor -1 basis point. The issuer also issued a one-year note in euro and said that most of its recent notes were for this tenor to meet investor demand. SGA also went out one year with a deal for $2 million. At the long end Danske Bank issued a $10 million 10-year note and ABN Amro Bank also went for this maturity with a $5 million deal. But Spintab raised the biggest volume with a $500 million non-syndicated 18-month trade.

Supranationals raised $150 million of the $570.53 million in US dollar. European Investment Bank and World Bank issued notes for $20 million that go out to 2022. African Development Bank and Council of Europe Development Bank were also in the market with a $10 million 10-year note and a $100 million nine-year note respectively. Council of Europe Development Bank did its fixed rate note via CSFB and it pays an annual coupon of 6.125% and is swapped into 3m Euribor. The trade is a reopening of a $750 million 10-year note issued on January 25 2001. It is the fourth reopening of the fungible trade, which now totals $1.35 billion. Volkswagen International Financeissued again - its 16th time in the market this year, and its third note in US dollar. It closed a $50 million two-year note. Northern Rock issued a $100 million note, also going out two years. And Union Bank of Norway did a $50 million three-year trade via Dresdner Kleinwort Wasserstein. The note pays a floating rate coupon linked to 3m $Libor +10 basis points.

Globals * Asian Development Bank

There was little at the short end, as most US dollar trades were in the one-year-and-over sector. NIB Capital Bank issued a $1.14 million one-year note due on February 7 and Hongkong & Shanghai Banking Corp did two trades: a 16-month $20 million note and a $10 million 18-month trade. Barclays Capital led a $65 million two-year note for Bank of Scotland Treasury Services and a $250 million three-year note for Instituto de Credito Oficial. The latter is an increase of a $250 million deal led by BNP Paribas issued on February 1 this year. It pays a floating rate of 3m $Libor -12.5 basis points. Morgan Stanley led a $20 million four-year step-up note for KfW International Finance. It is callable after six months and semi-annually thereafter. The coupon is fixed at 3.60% in the first year. It then steps up to 4.5% in the second year, 5.75% in the third year and 6.75% in the final year. Morgan Stanley also managed a step-up range accrual for Rabobank Nederland. The $10 million seven-year note pays 6m $Libor in the first year. Thereafter the coupon is fixed although it steps up annually and is subject to a range of the 6m $Libor rate, which also steps up after year four. Rabobank Nederland issued another $10 million eight-year range accrual trade via Salomon Smith Barney. The fixed coupon is 9.25% and is paid semi-annually throughout, although after the first year the coupon is subject to a range of the 6m $Libor rate. Landesbank Sachsen did a $3 million five-year trade via Deutsche Bank. The plain vanilla trade pays a fixed coupon of 4.925%.