Leveraged/non-investment grade

  • IFFIm hits screens ahead of US election

    IFFIm hits screens ahead of US election

    The International Finance Facility for Immunisation is lining up its first dollar benchmark since April 2019, selling into a market crowded with borrowers looking for short dated taps.

  • Flurry of taps in euros as ECB approaches

    Flurry of taps in euros as ECB approaches

    Four borrowers hit the euro market on Wednesday, focusing on taps and small new lines. The issuers are seizing their opportunity to sell before this week's European Central Bank press conference and nest week's US elections.

  • Lockdowns to spur busy November in IG corporate primary

    Lockdowns to spur busy November in IG corporate primary

    The threat of new national level lockdowns in some of Europe’s largest economies could spark a wave of high grade corporate bond issuance, with investors happy to ignore trembling fundamentals as long as the European Central Bank keeps pumping billions into the system.

  • Covered bonds set for safety bets major investor

    Covered bonds set for safety bets major investor

    The covered bond supply outlook is dismal and could worsen but that means spreads are well protected, even if competing supply in the rates market from the EU ramps up, a major investor told GlobalCapital on Wednesday.

  • Adnoc investor group Galaxy raises triple trancher

    Adnoc investor group Galaxy raises triple trancher

    Galaxy Pipeline Assets Bidco, a group of international investors that provided Abu Dhabi National Oil Company (Adnoc) with $8bn in a pipeline partnership deal earlier this year, has raised a $4bn triple tranche bond to refinance half of the loan that funded the team-up.

  • Denmark’s banks set for muted year-end in primary

    Denmark’s banks set for muted year-end in primary

    Denmark’s banks are set for a quiet end to the year, according to bankers, as changes made to their minimum requirements for own funds and eligible liabilities (MREL) have taken the pressure off of funding.

  • Fashionette prices IPO despite DAX devastation

    Fashionette prices IPO despite DAX devastation

    German e-commerce company Fashionette, which sells designer handbags and accessories online, set a price for its IPO on the Frankfurt stock exchange on Tuesday, even as the main equity index in the country took a pasting.

  • Deutsche's investment bank makes almost €1bn, again

    Deutsche's investment bank makes almost €1bn, again

    Deutsche Bank's fixed income and currency bankers continued a strong run in the third quarter, the firm's results on Wednesday showed. Profit before tax at the investment bank has now been enough to cover losses from the capital release unit for two consecutive quarters.

  • Airbus doubles size of main euro bank line

    Airbus doubles size of main euro bank line

    Airbus, the French aerospace company, has signed a €6bn sustainability-linked revolving credit facility, with the borrower doubling the size of its bank line after raising billions in emergency liquidity in the spring.

  • CMB debuts internationally rated RMBS

    CMB debuts internationally rated RMBS

    China Merchants Bank has sold its first mortgage backed securitization (RMBS) transaction with an international rating. The foreign demand helped with a smooth bookbuilding process, despite a less than favourable market backdrop for the outing.

  • Gansu LGFV sees poor investor turnout for bond

    Gansu LGFV sees poor investor turnout for bond

    Gansu Provincial Highway Aviation Tourism Investment Group Co found lacklustre support for its $300m bond on Tuesday after its pricing strategy deterred investors from joining the deal.

  • JP Morgan appoints new Apac ECM head

    JP Morgan appoints new Apac ECM head

    JP Morgan has rejigged the leadership of its Asia Pacific capital markets businesses, promoting Francesco Lavatelli to the helm of the ECM team.

  • Asia green loans: don’t blur the lines

    Asia green loans: don’t blur the lines

    Asian loans bankers are calling for relaxed restrictions on green and sustainability-linked loans, hoping for more business opportunities from the sector. But this approach could harm the development of the market in the long-term.

  • Chile looking beyond green bonds for 2021 funding

    Chile looking beyond green bonds for 2021 funding

    Chile, which in 2019 became the first Latin America sovereign to issue a green bond, is weighing up different thematic bonds as it makes its funding plans for 2021, according to a senior funding official.

  • CreditSights Covenants: European Telco CoCs

    Covid-19 has not put the brakes on deal-making in the European telecommunications, media and technology (TMT) sector and we expect M&A activity to continue. As such, we view the nuances of change of control (CoC) language in deal documents as important.

  • Managers prep flurry of new CLOs in run up to US election

    Managers prep flurry of new CLOs in run up to US election

    Crestline Denali Capital, LCM Asset Management, Anchorage Capital Group and HPS Investment Partners are the managers expected to price CLOs in the coming week, as the primary pipeline sees one last burst of activity before election headlines dominate.

  • Argentina’s economic struggles are a danger for provincial restructurings

    Argentina’s economic struggles are a danger for provincial restructurings

    Eye-watering bond yields on Argentina’s recently restructured sovereign bonds indicate that investors have little faith in its economic plans. That will make it hard for issuers and investors to see eye-to-eye in the wave of provincial debt restructuring talks that has followed the sovereign's deal with bondholders.

  • ECB can't pick and choose, even for the environment

    ECB can't pick and choose, even for the environment

    An ESG think tank believes that the European Central Bank should drop Alberta’s euro bonds from its list of eligible marketable assets as a punishment for its support for polluting industries. But while it is a laudable aim, it is not practicable.

  • Oportun returns with unsecured consumer ABS

    Oportun returns with unsecured consumer ABS

    Unsecured consumer lender Oportun, known to primarily serve customers with less access to traditional banking services including low income and immigrant communities, is returning to the securitization market. It is the first deal from the issuer since coming under fire for filing more lawsuits than any other personal loan company in California and Texas.

  • Scandie SSA issuers plump for short dated dollars

    Scandie SSA issuers plump for short dated dollars

    Supply in the SSA dollar market is clustered at the short end of the curve, as borrowers focus on defensive tenors ahead of the upcoming US election. Kommuninvest landed a sizeable benchmark on Tuesday, while Kommunalbanken will follow suit on Wednesday.

  • Credit business shines as HSBC vows to speed up change

    Credit business shines as HSBC vows to speed up change

    HSBC's credit and equities business lines were the standout performers in the global banking and markets division (GBM) in the third quarter, the bank's results showed on Tuesday. Meanwhile, group chief executive Noel Quinn said the firm was adapting its business model to chronic low interest rates.

  • Citizen Irish announces rare auto ABS

    Citizen Irish announces rare auto ABS

    Citizen Irish has mandated Deutsche Bank as arranger and Citi as joint-lead manager for a new Irish auto ABS, the third deal to come from the issuer after a two-year break.

  • Enagás pays 5bp premium as CSPP warps curves

    Enagás pays 5bp premium as CSPP warps curves

    Enagás, the Spanish gas transmission and network company, came to the bond market for a rare trade on Tuesday, as European Central Bank bond buying continues to make syndicate bankers' lives difficult by taking spreads in strange directions.

  • Glass half empty: pubcos strike covenant waivers for private placements

    Glass half empty: pubcos strike covenant waivers for private placements

    UK hospitality companies have been avid users of the US private placement market in the past, but since the coronavirus pandemic began, their businesses have been up-ended with pubs subject to curfews, social distancing and closures. Fortunately, US PP investors have largely followed bank lenders in opting for leniency, waiving covenants or switching to monitoring minimum levels of liquidity. One firm even managed to raise new debt this summer.

  • Lira hits record lows as Turkey watchers beg for rate raise

    Lira hits record lows as Turkey watchers beg for rate raise

    The Turkish lira fell to record lows against the dollar this week, causing investors to adopt a risk off attitude. Market watchers believe now is the time for the Central Bank of Turkey to increase interest rates, which is seen as one of the only ways for the country to recover from its currency crisis.

  • Canadian covered bond issuers to turn on the taps

    Canadian covered bond issuers to turn on the taps

    Bankers are confident that Canadian covered bond issuance will resume after the Bank of Canada withdrew the repo eligibility of retained covered bonds, while honouring existing repo deals. But bankers are split as to whether supply will restart in early December or be deferred until next year.

  • ECB: almost half of banks are finished with TLTRO III

    ECB: almost half of banks are finished with TLTRO III

    Nearly half of Europe’s banks do not intend to participate in the next rounds of the targeted longer-term refinancing operations (TLTRO III), according to the results of a new survey published by the European Central Bank this week.

  • Lenders reckon they’ll make budget but worries remain

    Lenders reckon they’ll make budget but worries remain

    Loan syndicate desk heads at major European lenders are expecting to make budget this year, but the bulk of their desks’ profits will not be coming from the usual sources of loan income nor the torrent of bridge loans that hit the market in the Spring outbreak of the coronavirus pandemic.

  • Sharjah returns for sukuk tap

    Sharjah returns for sukuk tap

    The Emirate of Sharjah, which last entered markets this June with a Formosa bond, has mandated banks to arrange a tap on its dollar sukuk.

  • Cov-lite has gone pretty well so far

    Cov-lite has gone pretty well so far

    The coronavirus pandemic has subjected the European leveraged loan market, where ‘cov-lite’ documents reign supreme, to a brutal test. The early results are positive.

  • JW Therapeutics closes IPO early

    JW Therapeutics closes IPO early

    Chinese biotechnology firm JW (Cayman) Therapeutics is set to close the book for its Hong Kong IPO on Tuesday, a daily earlier than planned, according to a source familiar with the matter.

  • Ant covers $34bn Hong Kong-Shanghai IPO

    Ant covers $34bn Hong Kong-Shanghai IPO

    Chinese financial technology company Ant Group is set to raise $34.3bn from the world’s largest ever IPO, after covering the deal within minutes of launch.

  • Chile bonds stable on referendum result but uncertainty lingers

    Chile bonds stable on referendum result but uncertainty lingers

    Chile's sovereign dollar bonds hardly budged in Monday trading despite its electorate voting to change the country's constitution the night before. But analysts believe uncertainty along the road to a new political agreement could harm investment, and the new constitution will likely drive up government spending.

  • Investors flock to first aircraft ABS since Covid outbreak

    Investors flock to first aircraft ABS since Covid outbreak

    Global Jet Capital priced the first aircraft ABS deal since the pandemic, testing the waters with a unique deal backed by diversified and newer business jets linked to high net worth individuals. Although the transaction was well received by investors, it will still be some time before more conventional aircraft deals see demand rebound.

  • Tulp mandates banks for second Dutch RMBS

    Tulp mandates banks for second Dutch RMBS

    Tulp Hypotheken has mandated HSBC as arranger and BNP Paribas as joint-lead manager for Tulip Mortgage Funding 2020-1, the issuer’s second ever deal following its 2019 debut.

  • Standard Bank secures Chinese loan in shrunken market

    Standard Bank secures Chinese loan in shrunken market

    South Africa's Standard Bank has raised a syndicated loan from a consortium of Chinese lenders. The transaction marks one of the few spots of activity in a market that has almost halved in size this year.

  • Michelin gets blowout demand for €1.5bn trade

    Michelin gets blowout demand for €1.5bn trade

    Compagnie Générale des Etablissements Michelin, the French tyre company, won more than €10bn of demand for its €1.5bn bond issue on Monday, as a growing number of corporate bankers expect to see European high grade spreads return to pre-Covid 19 levels.

  • EIB plans final public outing of 2020

    EIB plans final public outing of 2020

    The European Investment Bank hit screens on Monday afternoon to announce what will be its final benchmark deal of the year, with the issuer set to use every inch of its €70bn borrowing authorisation for 2020.

  • MuHyp to issue rare 20 year Pfandbrief

    MuHyp to issue rare 20 year Pfandbrief

    Muenchener Hypothekenbank has mandated leads for a rare 20 year covered bond benchmark, the first from a German issuer this year and only the third from the whole market. Rates have collapsed rendering the recently popular 15 year tenor less attractive.

  • Investors spot a silver lining in record retained covered bond issuance

    Investors spot a silver lining in record retained covered bond issuance

    Investors are sanguine about the fact that covered bonds pledged for repo with central banks hit a new record this year. Although issuers acknowledge the need to appear regularly with benchmarks in the public market, some have scaled back, but this is likely to prove temporary.

  • A second wave for coronavirus-themed bank bonds?

    A second wave for coronavirus-themed bank bonds?

    As Europe moves into a second wave of coronavirus cases, banks could soon return to the market with more Covid-themed bond issuance. However, issuers that do choose to tap the market may find themselves competing with the European Union.

  • Tax rethink will completely change Swiss bond 'side dish', says departing veteran Ronald Hinterkircher

    Tax rethink will completely change Swiss bond 'side dish', says departing veteran Ronald Hinterkircher

    Ronald Hinterkircher, who is retiring from the Swiss franc bond market after a 40 year career, has told GlobalCapital that digitalisation and the possible removal of the withholding tax for foreign investors could change the market over the next few years. But with the European Central Bank propping up the euro bond market, arbitrage opportunities for international companies in Swiss francs are vanishingly slim.

  • Covid-19 equity raises could be subject of litigation

    Covid-19 equity raises could be subject of litigation

    Companies raising equity in the UK this year — amid a very uncertain outlook for business prospects — may risk opening themselves up to claims related to the information they disclose or do not disclose, according to lawyers at Herbert Smith Freehills.

  • Dealogic parent preps to strip out costly private debt as strong results cut leverage

    Dealogic parent preps to strip out costly private debt as strong results cut leverage

    Ion Investment Group is preparing to combine its Dealogic and Mergermarket units under a single corporate entity, ION Analytics, and refinance the group’s expensive private debt raised last year with a cheaper, broadly syndicated loan package across dollars and euros. A strong performance over the last year should encourage investors to look past the group’s previous struggles with access to the public markets.

  • Data shows only 18 loans swapped Libor for new rates as deadline looms

    Data shows only 18 loans swapped Libor for new rates as deadline looms

    European syndicated loan bankers say they are confident that the market is headed towards a tipping point in its transition from Libor, despite new data that showed just 18 publicly announced deals in markets that use Libor have signed or been amended to reference risk-free rates.

  • Italian BTPs rally after surprise upgrade with green framework and dollar bond expected soon

    Italian BTPs rally after surprise upgrade with green framework and dollar bond expected soon

    Italian government bonds rallied across the curve on Monday after S&P upgraded its outlook on the sovereign on Friday in response to the country’s extraordinary fiscal measures and support from the European Central Bank’s asset purchase programme and the European Union’s incoming recovery fund. The positive sentiment bodes well for the imminent publication of Italy’s green bond framework and plans to return to the dollar market in the coming weeks.

  • Soltec Power IPO to price at top of the range

    Soltec Power IPO to price at top of the range

    The IPO of Soltec Power, the Spanish maker of solar trackers for renewable energy generation, is due to be priced at €4.82, the top of the initial range, after attracting strong demand from investors keen to add stocks with strong ESG credentials to their portfolios during the pandemic.

  • P&M Notebook: scorecards out for Barclays and UBS

    P&M Notebook: scorecards out for Barclays and UBS

    UBS enjoyed a successful third quarter for debt capital markets, its results last week showed, as it racked up 63% more in revenue than in the third quarter of 2019, according to GlobalCapital's estimate.

  • Mexican telco to test appetite for Lat Am debutants

    Mexican telco to test appetite for Lat Am debutants

    Total Play Telecomunicaciones, the Mexican telecommunications company, is approaching international bond investors for the first time. With some EM investors saying they are ready for a pre-US election lull in bond issuance and mixed fortunes for recent new Latin America deals, it could provide a good test of the state of play in the region’s primary markets.

  • Golub prices first TALF CLO but Fed program still lacks appeal, sources say

    Golub prices first TALF CLO but Fed program still lacks appeal, sources say

    Golub Capital priced the first CLO to take advantage of the Term Asset Backed Securities Loan Facility last week, selling a $678m static transaction arranged by Société Générale backed by a pool of mostly middle market loans. The deal, expected to close on October 30, may pave the way for more middle market managers to tap TALF funds, but sources remain skeptical that the program will have much impact on the wider CLO space.

  • Greece looking to capitalise on Pepp to complete curve

    Greece looking to capitalise on Pepp to complete curve

    Greece hit the market this week with a €2bn tap, neatly threading a needle between the EU’s jumbo debut and a hefty 30 year from Italy. But unlike other sovereigns, the exercise was not a scramble for cash to mitigate the impact of the pandemic.

  • MTN investors on hold ahead of election

    MTN investors on hold ahead of election

    A number of MTN investors are waiting for the result of the US election before committing themselves to the market, meaning next week is set to be a quiet one.

  • Bank supply to be muted ahead of US election

    Bank supply to be muted ahead of US election

    Despite a recent deal surge, investors and issuers are set to pull away from the primary market with just one full week left to go before the US presidential election.

  • Goldman, BofA take most of mammoth mortgage bond bidlist

    Goldman, BofA take most of mammoth mortgage bond bidlist

    Cerberus Capital Management drew strong demand for its 48-line item bidlist of mezzanine mortgage bonds on Thursday, with winning bids for most of the bonds in the nearly day-long sale going to Goldman Sachs and Bank of America, sources tell GlobalCapital.

  • Barclays boasts of share gains in markets

    Barclays boasts of share gains in markets

    Barclays enjoyed a record quarter in equities, but in its advisory and equity capital markets it lagged behind competitors, it showed in third quarter results on Friday.

  • China issuers sneak into closing bond window

    China issuers sneak into closing bond window

    A host of Chinese issuers found one of the last windows to sell bonds on Thursday ahead of the US presidential elections at the beginning of November and a public holiday in Hong Kong early next week.

  • Lufax launches roadshow for $2.36bn US IPO

    Lufax launches roadshow for $2.36bn US IPO

    Lufax Holdings, a personal finance services platform, has opened books for its offering of American depositary shares (ADS). It is aiming to raise up to $2.36bn.

  • Suriname to miss coupon payment, engage IMF amid liquidity squeeze

    Suriname to miss coupon payment, engage IMF amid liquidity squeeze

    Suriname’s new government said on Thursday that it would not make a coupon payment due next Monday on its $550m of 9.25% 2026s as it prepares for restructuring discussions. But with the Surinamese economy capable of generating high levels of hard currency, the focus could be on liquidity relief rather than principal haircuts.

  • Millicom, BRF find bid but Lat Am lull begins

    Millicom, BRF find bid but Lat Am lull begins

    Two corporate deals on Monday and a tiny tap from a Paraguayan beef exporter on Wednesday were all investors had to choose from in Latin American primary bond markets this week as issuance remains light ahead of the US elections next month.

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