UniCredit

In yet another sign of the European high yield market's bullishness, SGD Group, the French glass packaging company and a debut issuer, has priced a fixed rate bond with an unconventionally short non-call period, increased the deal and sold it inside price guidance. And SGD is not alone — Alain Afflelou, a French optician chain, is following the short call example.

TeamSystem, the Italian software designer and distributor, has sold a €130m tap of its 7.375% 2020 bond to finance its acquisition of 24Ore Software.

Groupe Auchan, the French supermarket chain, launched its first bond of the year on Tuesday, into an empty European corporate bond market. Despite the dark clouds massing over Ukraine, there was strong demand and the issuer hit its size and pricing targets.

Société Générale returned to the covered bond market on Tuesday after a four month absence to issue the sixth French covered bond deal of the year and the third from France with a 10 year maturity. By limiting the deal size, leads were able to price flat to its curve, and with barely any premium to the French government.

Snam, the Italian gas transport network, found very strong demand on Wednesday for a €500m bond issue, as investors ignored the threat of war between Russia and Ukraine and piled into West European corporate credit.

Volkswagen’s thirst for funding appears unslakeable at present. The first three months of this year were its busiest quarter for issuance ever, by a wide margin, and since April began VW has also been pumping out deals.

FGA Capital, the car finance company jointly owned by Fiat and Crédit Agricole, sold another blowout bond on Wednesday, after a run of highly sought-after deals.

UniCredit Bank Austria issued its second €500m benchmark and the group’s fourth covered bond of the year on Monday. The long five year transaction took advantage of excess demand that was identified in core covered bond deals that priced the previous week, but offered a much juicier pick-up.

Romania has picked four banks from its primary dealer list to lead manage a euro-denominated bond, according to two sources away from the deal.

The tightest and most oversubscribed UK covered bond in three years could signal the start of banks releveraging in Britain and elsewhere in Europe, according to analysts. The €1bn Lloyds Bank deal — the country’s first in euros this year — should also tighten the UK covered curve, particularly with growth rebounding, writes Bill Thornhill.

FGA Capital, the car finance company jointly owned by Fiat and Credit Agricole, sold another blowout bond today, after a run of highly sought-after deals.

Volkswagen’s thirst for funding appears unslakeable at present. The first three months of this year were its busiest quarter for issuance ever, by a wide margin, but since April began VW has also been pumping out deals.