Austria

Austria’s Oberbank issued its first green covered bond on Thursday under its newly established green framework. Consistent with recent deals, the transaction was priced 2bp inside the initial spread with a 2bp new issue concession as investors showed once again that they are sensitive to price.

Hypo Noe considerably narrowed the new issue concession for its €500m 10 year covered bond compared to previous deals when it issued on Wednesday. However, it did not achieve its spread ambition, as investors left the order book.

Guarantor: Republic of Austria

Österreichische Kontrollbank (OeKB) will be ready to issue floating rate notes linked to the recommended new risk free rates in sterling and dollars in the third quarter of 2021.

Oesterreichische Kontrollbank hit the market for sterling paper on Tuesday, extending its curve with a 2025 maturity.

European banks made the most of an improving tone in the euro market this week, piling on top of one another to access funding in a small but supportive window.

Asfinag, the Austrian state-owned agency that manages the country's motorways, had the euro market to itself on Wednesday. A cheap starting point earned the borrower a huge order book for the €500m bond.

Bank borrowers returned to a stronger euro bond market on Tuesday, but deal arrangers warned of lingering concern over rates and inflation as KBC Group struggled to draw a crowd for a long-dated offering.

Volatility subsided amid a series of public holidays in Europe on Monday, raising hopes for a busier week of bank bond supply.

Austria's Raiffeisen-Landesbank Steiermark’s issued a €500m 20 year mortgage covered bond on Tuesday that was barely subscribed and, for the first time in the covered market since September 2019, leads were unable to tighten pricing from the initial level.

UBM Development, the Austrian property company, issued last week what it believes is the eurozone’s first sustainability-linked retail bond — bringing one of the hottest techniques in corporate finance to a traditional market that has dwindled in the recent climate of negative interest rates.

Shares in Montana Aerospace, the Swiss-Austrian aerospace company, took to the skies on Wednesday morning, the company’s first day of trading on the Swiss SIX Exchange following its IPO.