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Revival in overseas demand for French SSA paper
Deal will bring fourth major multilateral development bank to the market
◆ Other options on table but issuer opts for two taps ◆ ‘Huge books’ now a norm for the issuer, clear NIP this time ◆ EU’s curve evolves to resemble that of EGB peers
◆ Tightest level since IFC's three year print ◆ Investors recycle redemptions ◆ Programmatic and pragmatic approach
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The SSA syndication fee schedule is no longer fit for purpose, if it ever was. The EU has kick-started the debate, but the flaws in the business model go well beyond the issues the EU's fees grid has raised.
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Public sector borrowers should be careful what they wish for. Those looking to follow the European Union’s lead in lowering the underwriting fees they pay to banks could cause an unwelcome distortion to their market at a time when getting funding through the door with minimal drama is perhaps more crucial than ever.
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A flurry of dollar issuance hit the market on Tuesday, covering a wide range of spreads and formats.
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The European Investment Bank failed to impress market participants on Tuesday with an order book far smaller in size than usual for an Earn benchmark and no move in the spread after guidance.
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The debate over SSA underwriting fees, ignited by the EU’s decision to publish a lower fee schedule, is raging on with bankers and issuers saying it is pushing other topics aside.
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KommuneKredit made a strong return to the sterling market on Friday with its biggest ever single offering in currency.