Denmark

TryghedsGruppen, the majority shareholder in Danish insurance group Tryg, completed a 21m share sale in Copenhagen last night to reduce its stake before a rights issue next year.

NKT, a Danish industrial conglomerate in the power cables industry, has launched a Dkr1.3bn ($208m) rights issue to shore up its financial footing in order to meet orders and to withstand the pressures of the Covid-19 pandemic.

Although Danish covered bond issuance in euros is likely to prove limited, the domestic market continues to provide a rich seam of supply for foreign investors. Confidence is likely to have been bolstered by the limited impact of Covid lockdowns on the country's mortgage market, along with recent proposals to harmonise and update its legal framework.

This week's scorecard looks at the progress Nordic agencies have made in their 2020 funding programmes at the end of October.

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.

The Kingdom of Denmark made a rare appearance in dollars on Tuesday, printing $2bn in its first outing outside its domestic market in six years. Its success in the currency has emboldened the World Bank to follow suit.

Crédit Agricole and Nykredit Realkredit were able to push aggressively on pricing in the additional tier one (AT1) market this week, as they took advantage of favourable supply and demand dynamics.

Nykredit Realkredit was set to launch its first additional tier one (AT1) in over five years on Tuesday, tightening its pricing by more than 50bp to close in on a level that looked close to fair value.

This week's scorecard looks at the progress Nordic agencies have made in their 2020 funding programmes in mid-September.

The primary euro public sector bond market continued its busy week on Thursday with KfW and KommuneKredit issuing new 10 and 20 year deals, respectively.

Activity in the financial institutions bond market has picked up this week after a long pause in euro supply. Danske Bank and Belfius Bank were among the names looking to capitalise on the improving market conditions on Wednesday.

Danish bankers believe that Danish mortgage banks are well capitalised and do not see the need to hold more capital, as was recently proposed by the Danish central bank.