UniCredit

Italy could soon inject much needed capital into its banking sector, but the new measures, planned in the wake of the UK's vote to leave the EU last week, must first get past EU state aid and bail-in laws.

Swedish sponsor EQT is set to syndicate €1.25bn of loans in July to fund its acquisition of German Bilfinger’s real estate business, in a market that has been led by German and French deals since the Brexit referendum.

Equity capital markets bankers who have been hankering after a long holiday know that this summer is the time to take it. While investors are glued to their screens watching the aftershocks of the UK’s Brexit referendum playing havoc with their portfolios, new deals are almost entirely out of the question.

Amid the chaos in global markets on June 24, the IPO of Veneto Banca reached its expected conclusion: the book closed almost empty and the listing was cancelled, leaving Fondo Atlante, the Italian bank rescue fund, to provide the €1bn of capital Veneto had to raise.

Market participants struggled to assess the fallout from the UK's EU membership referendum on Monday, with fears over rates, politics and portfolios all heaping further pressure on subordinated bank debt.

European bank debt was thrashed in the wake of the UK's vote to leave the European Union on Friday morning. And though the panic hasn't matched that seen in February, when concerns on AT1 coupon payments triggered a selloff, the worst may be yet to come as markets face unprecedented governmental change.

Corrado Passera is the favoured candidate to become the next chief executive of UniCredit, but the bank’s international investors are on a collision course with its board over the appointment of a successor to Federico Ghizzoni, who stepped down last month.

UniCredit is expanding its business in the Middle East and is in the process of opening a new branch in Abu Dhabi.

A $12.7bn Asia-focused loan for China National Chemical Corp’s acquisition of Swiss firm Syngenta is expected to enter the second phase of syndication as early as next week.

No financial institutions have launched new bonds in Europe this week, as market participants await the results of the UK’s referendum on EU membership.

Salini Impregilo, the Italian construction firm, sold €300m of non-callable notes on Thursday to refinance its old 2018 notes, and finance part of its acquisition of US peer Lane Industries.

Capital markets this week finally faced up to the possibility of the UK voting to leave the European Union in next Thursday’s referendum. There was a distinct whiff of panic in European bond markets, after latest polls showed the Leave campaign was not only gaining momentum but establishing a lead, prompting investors to race into safe haven assets such as Bunds and US Treasuries and selling out of bonds of issuers most likely to be affected by Brexit.