UK

On Thursday London & Quadrant Housing Trust became the latest issuer to tap the strong demand from sterling investors with a £500m 12 year and 40 year dual tranche structure. This was the second dual tranche sterling deal following Digital Stout’s £600m seven year and 12 year combination the day before.

Digital Realty used its Digital Stout Holding entity to sell a dual tranche sterling bond offering on Tuesday. The data solutions provider was overwhelmed with interest for its £600m deal, and will use the proceeds to rid DuPont Fabros Technology (DFT) of existing debt.

At current spreads UK covered bonds still offer good value even though a rise in the UK counter-cyclical capital buffer (CCyB) means international investors will incur a higher capital charge in buying the deal, said analysts at Citi.

The head of Société Générale’s equity and derivatives trading business in the UK, Dan Cohen, has decided to leave the company, GlobalCapital can confirm.

Digital Realty used its Digital Stout Holding entity to sell a dual tranche sterling bond offering on Tuesday. The £600m raised from the two tranches will be used to rid DuPont Fabros Technology (DFT) of existing debt.

The UK Debt Management Office broke yet another record on Tuesday, building its largest ever book in cash terms for an inflation linked syndication. The demand was such that the bond then tightened in secondary to move past the fair value level at the book open, said one of the leads.

Carillion’s share price fell roughly 40% after bleak profit warnings on Monday, and another 33% on Tuesday. The UK outsourcing and construction company's tumble comes only five months after it successfully issued a €112m — confirming for some that the market has become too open to unsuitable borrowers.

Arena Events, the UK supplier of temporary structures to festivals and sporting events such as Wimbledon and Glastonbury, is preparing to go public on London’s Alternative Investment Market (AIM).

Shares in GCP Infrastructure Investments fell as much as 2.3% in London on Monday after the company launched its 12th follow-on capital raising since its £40m IPO in 2010.

Private equity firm CVC has taken to the leveraged loan market to fund the acquisition of IT systems company QA Group, encouraged by the lower borrowing costs on loans than high yield bonds.

Standard Chartered’s Renminbi Globalisation Index fell to a 39-month low in May as the offshore renminbi (CNH) liquidity pool shrinks. But the bank said the index figures do not yet reflect China’s recent efforts to internationalise the renminbi, such the launch of Bond Connect.

Residential Secure Income Fund, the closed end investment company, has raised £180m to invest in UK social housing, less than the £300m it sought, after pricing its IPO on the London Stock Exchange.