Spain

Deutsche Bank will open books for a five year Cédulas Hipotecarias on Tuesday following last week’s roadshow.

Abengoa is negotiating with five banks and Spain's government for a new €1.5bn credit facility, as the Spanish establishment has rallied round to save the debt-laden renewable energy engineering group, writes Victor Jimenez.

Amadeus, the Spanish company that provides IT systems to the air travel industry, reaped the rewards of five weeks of patience on Tuesday as its €500m six year no-grow bond brought in an order book of over €4.75bn.

BBVA issued a €1.25bn five year covered bond on Tuesday that attracted an order book unequaled in size in the Cédulas market since July.

Amadeus, the Spanish company that provides IT systems to the air travel industry, reaped the rewards of patience on Tuesday after sitting in the pipeline for five weeks as its €500m six year no-grow bond brought in an order book of over€4.75bn.

BBVA returned to the covered bond market for the second time this year on Tuesday, opening books for a long five year. Despite pricing well inside Spanish government Bonos, and even though political instability was causing ructions in neighbouring Portugal, the national champion quickly built an order book unequaled in size in the Cédulas market for nearly four months.

Iberdrola, the Spanish electricity company, raised €500m of cheap funding on November 6 with an equity-neutral convertible bond, partly as a response to the recent disruption in the straight bond market.

Political risk appeared to be influencing investors’ decision making on Monday, as a trio of eurozone periphery sovereigns underperformed their peers in secondaries. But there was better news for Cyprus, which more than halved its one month borrowing costs at an auction.

Deutsche Bank is set to go on the road and market its first Cédulas Hipotecarias while DBS Bank of Singapore is set to market the first Asian covered bond in sterling

Six borrowers raised nearly €5bn in the covered bond market this week, once again surpassing supply expectations. The star attraction, notable for both its size and tenor, was a €1.5bn three year from the Norwegian issuer, Sparebank 1 Boligkreditt.

Spain cut its long term borrowing costs at a debt auction on Thursday, as it hit the middle point of its target volume range.

Caixabank, Spain’s largest retail bank, priced a €1bn five year deal on Wednesday, attracting investors with a generous new issue premium. The transaction attracted the broadest and deepest distribution of any Spanish deal since July.