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* BankBoston's $2bn CLO is set to price on Monday, via bookrunner Lehman Brothers and joint leads Merrill Lynch and Morgan Stanley. "It's a blowout," said a syndicate official at Lehman Brothers in New York. "The deal is emerging as the new benchmark for the CLO sector. There will be monthly collateral reports on Bloomberg, it is 100% ERISA eligible, has very good loan diversification, and the syndicate structure with three leads will allow for greater liquidity."

NOMURA executed its first European agency securitisation this week -- a £155m bond for UK brewer Marston, Thompson & Evershed, financing the divestment of almost all its tenanted pubs. At closing, the 569 pubs will be sold to a new company, The Premier Pub Co. The purchase is financed by a bond issue from The Premier Pub Finance Co, backed by rents and beer sales from the pubs.

CRÉDIT Lyonnais brought the second securitisation of housing loans to French borrowers from its Titrilog programme this week -- at Ffr10bn, the deal is the largest French securitisation apart from the Cyber-Val deals. In response to demand from a specific group of investors, including one large lead buyer, Crédit Lyonnais split the deal in half, carving out unlisted, private tranches that matched the public bonds exactly in size, maturity, rating and price.

DEUTSCHE Bank this week brought a third class of its own assets to the asset backed market, with a DM1bn deal backed by equipment and vehicle loans to German corporates -- the first public securitisation of the asset class in Germany. The 12,790 fixed rate loans were originated by its subsidiary Gesellschaft für Absatzfinanzierung (GEFA). The loans finance cars, commercial vehicles and buildings, and industrial and agricultural equipment.

FUJI BANK has quietly executed a $2bn securitisation of 56 of its loans to investment grade UK corporates, arranged by Greenwich NatWest. The transaction uses a special purpose vehicle called Fuji Asset Backed Funding (UK) Ltd, which is funded from a variety of sources, including the bank loan market. London banks were last week asked to participate in an $800m syndicated liquidity facility related to the deal.

KBC Bank this week launched the biggest securitisation of Belgian assets so far -- Bfr20bn ($600m) of bonds backed by residential mortgages originated by Cera Bank, which merged with Kredietbank in July to form KBC Bank. "KBC Bank is growing at a huge speed nationally and internationally," said Kristof Moens, a new issues official at KBC Bank. "Securitisation is a very useful way to release regulatory capital, diversify our investor base and enhance return on assets and equity." Home Loan Invest-2 offered a straightforward senior subordinated structure, with pro rata passthrough amortisation.

PROBLEM: The goal of hedging is to offset the risk inherent in a perhaps illiquid position by taking positions in liquid instruments.

ING BARINGS and Salomon Smith Barney have been appointed joint global coordinators for the sale of 5% of Korea Electric Power Corporation, in a surprise for the many bankers who believed that the US bank was out of the running due to its role on Posco and a mandate for a government bond earlier in the year. Two weeks ago Euroweek revealed a seven bank short-list including ABN Amro, Credit Suisse First Boston, Goldman Sachs, HSBC Investment Bank, ING Barings, Lehman Brothers, and one other, believed to be Salomon Smith Barney.

DECISIONS are expected soon on advisory roles for restructuring and equity offering mandates for Krung Thai Bank and Thai Airways. A decision on Thai Airways is likely in a fortnight, with the selectors believed to have narrowed the field down to two consortia * one led by Merrill Lynch and Warburg Dillon Read and one by Credit Suisse First Boston, Dresdner Kleinwort Benson and Jardine Fleming.

ASIAN bond spreads continued to tighten this week but increased liquidity stemming from the continuing appreciation of Asian currencies and sharper pricing failed to draw new issuers to the market. Bankers reported an increase in appetite for credit across a broad spectrum and in all timezones but were cautious about predicting renewed issuance or enthusiasm for primary sales any time before Christmas. "Investors are currently looking at shorter dated paper and we could be nearing the time when quality issuers with existing MTN programmes could tap them," said one banker.

ABN Amro Alex Burtt has left his post of equity capital markets syndicate head at ABN Amro in Hong Kong.

THE PHILIPPINE National Bank (PNB) may reappoint ING Barings as adviser for its forthcoming recapitalisation and strategic stake sale today (Friday), although both Lehman Brothers and Salomon Brothers also have a strong chance of winning a role and a joint mandate could yet be awarded, according to local analysts. ING Barings relinquished the mandate when a shareholders meeting last May voted out PNB's management. Although ING was under no obligation to withdraw from the deal it was generally agreed that a fresh selection process would be to the advantage of all.