Belgium

European banks are trying to lock in funding at longer maturities as they consider whether credit spreads have reached a low point. But demand is less certain at the long end of the market, and some investors are pushing for a higher premium to reflect duration risk.

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.

Brussels jumped into the long end this week, printing the longest MTN in over a month.

Hogan Lovells is looking to build a Belgian banking and capital markets practice around a group of five lawyers who were previously at PwC Legal.

Alychlo, the family investment company of Belgian billionaire Marc Coucke, has reduced its stake in Mithra Pharmaceuticals through a €40m accelerated bookbuild on Wednesday evening.

Belfius cancelled a consent solicitation for one of its tier two bonds this week after the Single Resolution Board took the market by surprise and broadened the scope of its grandfathering period for ‘Brexit bonds’.

Belgian investment company Groupe Bruxelles Lambert has raised €500m of financing at a deeply negative yield through a new bond convertible into treasury shares.

The EU's Single Resolution Board has this week broadened the scope of English law bonds that will count towards the minimum requirements for own funds and eligible liabilities (MREL), even if their contracts do not recognise EU bail-in powers. The changes prompted Belfius to cancel a consent solicitation for one of its tier twos, which would have been disqualified under the previous grandfathering arrangements.

Club Brugge, the Belgian football club, has begun bookbuilding for its IPO on Euronext Brussels, having fixed the price range at €17.50 to €22.50 a share.

Greece and the Flemish Community are preparing to sell syndicated bonds at the long end of the euro curve following a strong reception for France with the sale of its second green OAT on Tuesday.

Xtrion, the majority shareholder of Belgian semi-conductor company Melexis, sold 1.4m shares in Melexis on Tuesday night. The sale was part of an overall 1.7m package sold to investors in order to increase the Belgian firm's freefloat in the hope that it will join the country's benchmark stock indices.

Belfius Bank is looking to amend the terms and conditions of one of its tier twos so that it can remain eligible for the minimum requirements for own funds and eligible liabilities (MREL). The bond was issued with risk factor language under English law but will now need to be updated to reflect the UK’s departure from the EU.