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n The European Bank for Reconstruction and Development will today (Friday) announce a buyback offer for its Rb400m 25% one year issue launched last March, which is due to mature on April 1. The tender, which will run from March 19 to March 26, will be conducted by ING Barings which lead managed the issue.

The sale of stock in Canary Wharf is proceeding smoothly with the valuation likely to come out at between £1.9bn and £2.3bn. Some 167m shares will be sold by global co-ordinator, Morgan Stanley Dean Witter at between 280p and 350p. According to the pathfinder prospectus published this week, the group will raise around £470m to £585m in new money and the 85 acre development will have its assets valued at £2.65bn.

Market commentary: Compiled by Glenn Blackley, RBC DS Global Markets, London. Tel: +44 171-865 1759

KfW International Finance Guarantor: Kreditanstalt für Wiederaufbau

The unique and record-breaking financing of Olivetti’s takeover bid for Telecom Italia continued to take shape this week as it was revealed that the planned $15bn bond issue for Tecnost would be a five year floater paying a spread of 150bp to 200bp over Libor.

VENEZUELAN oil company PDVSA is expected to go on the road next week with a $1bn structured offering similar to that launched by Pemex in February. The deal, underwritten by Goldman Sachs, will be split into multiple tranches and will be the second issue from a $6bn structured programme that PDVSA launched last year. The inaugural deal came in the first half of 1998, when PDVSA issued $1.8bn.

THE UNIQUE AND record-breaking financing of Olivetti's takeover bid for Telecom Italia continued to take shape this week as it was revealed that the planned $15bn bond issue for Tecnost would be a five year floater paying a spread of 150bp to 200bp over Libor.

Croatia Creditanstalt is arranging a $100m project finance deal for Croatian telecoms company VIP-net. The project should be supported by the export credit agencies of Austria and Sweden because VIP-net has delivery contracts with Siemens and Ericsson.

Bookrunners IBJ International and Banca IMI and joint lead Monte dei Paschi this week launched SPQR Funding, the first Italian collateralised debt obligation. The Eu257m transaction is backed by illiquid Italian bank bonds acquired by IMI, loans to Italian banks written by IBJ London and loans to Italian local authorities from IBJ Milan.

Barclays Capital this week launched the first securitisation of shared appreciation mortgages (SAMs) in the UK for over a year, with a £97.84m triple-A rated zero coupon bond. The 55 year deal, Millshaw SAMS No 1 Ltd, is backed by 3,253 first charge mortgages that Barclays originated between May and July 1998, specifically for this transaction. The loans have a maximum loan to value ratio (LTV) of 25%. Borrowers pay no interest, but when they sell their house, pay off the mortgage or die, they must surrender a share in the appreciation of the value of the property, calculated as three times the LTV.

Credit Suisse First Boston will price La Défense II plc today (Friday). The Eu174.151m deal is the second securitisation to finance sales of buildings by Vivendi to SITQ, the international investment arm of Caisse de Dépôt et Placement du Québec. The transaction has been delayed by a week because of documentation difficulties relating to the swap.

Nine Spanish savings and cooperative banks this week launched one of the country's largest mortgage backed securities, with the Eu1.0517bn TDA 7 offering, lead managed by Crédit Agricole Indosuez, EBN Banco and Société Générale. For the last few years tax breaks have wooed Spain's middle class savers out of bank deposits and into mutual funds, leaving the banks short of liquidity. The funding squeeze has prompted an ever wider range of banks to securitise their mortgages - particularly since the Bank of Spain began accepting MBS as collateral for repo borrowings last summer.