Austria

Public sector borrowers are taking different approaches to the MTN market as they look to see out the rest of the funding year.

Österreichische Kontrollbank and Erste Abwicklungsanstalt priced well received dollar deals on Tuesday. The pipeline in the currency is building with Bank Nederlanse Gementeen and Swedish Export Credit Corporation having lined up three year trades.

Österreichische Kontrollbank will complete its benchmark funding for the year with a no-grow $1bn five year. Meanwhile, Erste Abwicklungsanstalt has lined up its second dollar deal of the year in the three year part of the curve.

In this round up, Eastspring Investment Management can now offer onshore investment products to Chinese customers, SWIFT Business Intelligence outlines Australia’s role in renminbi internationalisation, and Industrial Commercial Bank of China (ICBC) gets approval from the European central Bank to set up a subsidiary in Austria.

Erste Group has arranged a Schuldschein via blockchain, through a platform it helped construct alongside Linux Foundation’s Hyperledger Fabric.

Österreichische Kontrollbank could issue one more benchmark before the year end at the short end of the curve, according to a treasury official at the agency.

Austria’s FACC has signed a €255m syndicated loan, as the aerospace company consolidates its bilateral credit lines.

Raiffeisenlandesbank Vorarlberg issued its inaugural covered bond on Monday which, despite offering a modest concession, was the most oversubscribed benchmark Austrian transaction since May.

Rating: Aa1/AA+

Österreichische Kontrollbank mandated banks for a three year dollar benchmark global on Tuesday, with strong investor demand for the currency as a result of a lack of supply.

Hyp Noe’s tightly priced €500m Aa1 rated seven year covered bond issued on Tuesday was thinly oversubscribed, in contrast to a similar sized triple-A rated six year from BayernLB which found greater demand despite being priced tighter and with a smaller concession.

Raiffeisenlandesbank Niederösterreich-Wien (RLB NÖ-Wien) was able to whittle down the new issue concession for its 8 year covered bond on Wednesday, but demand was weaker than for Tuesday’s two trades.