UniCredit

BMW set Europe's investment grade corporate bond market off to a flying start for the year on Monday, printing €1.5bn of debt at or inside fair value.

The European Investment Bank received an order book close to two and half times bigger than its previous record in euros on Thursday as it printed its first benchmark in the currency of the year.

Lagardère, the French book publisher and travel retail company, has signed a €465m short term government-backed loan and extended its revolving credit facility, as the company shuffles its loan liabilities amid a plunge in revenue.

The European Investment Bank announced its first euro benchmark of the year on Wednesday, looking to take advantage of a super strong backdrop and avoid an expected heavy pipeline of supply next week.

Public sector borrowers soaked up huge demand in the euro market on Tuesday including the State of North Rhine-Westphalia, which printed its biggest ever 100 year bond despite offering a yield of less than 1%.

BMW set Europe's investment grade corporate bond market off to a flying start for the year on Monday, printing €1.5bn of debt at or inside fair value. A range of borrowers are said to be lining up trades in the German vehicle maker's slipstream.

Public sector borrowers wasted no time in getting back to business in the euro market in 2021 with one live deal and four mandates all hitting screens on Monday as issuers look to take advantage of an almost full trading week and a supportive market to make a dent in their brand new funding programmes.

ING kicked off the financials market in euros on Monday, as the Dutch bank looked to extend out its callable curve at a holding company level, and with minimal new issue premia on offer, a slew of deals is set to follow.

Fitch placed Banca Monte dei Paschi di Siena (MPS) on negative watch on Monday evening, following Moody’s, which postponed its ratings upgrade decision last week, with the Italian bank now expected to face a capital shortfall of up to €1.5bn by the end of next year.

European banks passed a real-life stress test in 2020 as the coronavirus pandemic threatened to topple the economy. The experience has improved the standing of subordinated debt, which is becoming more important for issuers and investors alike. Frank Jackman reports.

By Jana Hecker, Global Head of Equity Capital Markets, UniCredit

Sanofi, the French pharmaceutical company, has signed €8bn of sustainability-linked syndicated loans, while Italian natural gas distribution company Ascopiave has completed its own deal using the structure.