Japan

CPI Property, which owns real estate in Berlin and central and eastern Europe, entered Tokyo’s Pro-Bond market on Friday, raising ¥11bn ($97m) across three and 10 years tranches.

The International Swaps and Derivatives Association on Tuesday said the derivatives industry seemed to have broadly agreed on a method of calculating replacement rates, known as fallback rates, for interbank offered rates (Ibors), in case those rates stop being calculated.

Bank of China sold green bonds denominated in yen and offshore renminbi (CNH) last week, ending its long absence in the Japanese market.

International banks have been raiding the yen market for loss-absorbing debt in recent weeks, with volatile conditions casting doubt on deal execution in other currencies.

Japanese pharmaceuticals company Takeda implemented the first part of its financing of a £46bn takeover of UK biotech firm Shire on Thursday. The company used a six tranche combination to raise €7.5bn on its debut in the euro market.

Crédit Agricole was marketing five tranches of Euroyen bonds this week, following a very popular offering in the format from BNP Paribas earlier this year.

New York-listed aircraft leasing company Aircastle, owned by Japan's Marubeni Corp, has returned to the loan market for a $250m revolving credit facility.

Regular issuer Dongfeng-Nissan Auto Finance will open books for a Rmb4.43bn ($639.6m) auto loan securitization on Thursday.

UBS tapped the Tokyo Pro-Bond market this week to raise ¥150bn ($1.33bn) of funding for its total loss absorbing capacity, at a time of little volume in the FIG euro market.

In this round-up, MSCI proposes plans to increase four-fold the weighting of A-shares in its emerging markets (EM) index, China and the Philippines are launching a peso and renminbi trading platform next month, and weaker external demand drags down China's PMIs.

Stability of foreign currency funding is a priority for Sumitomo Mitsui Banking Corporation and covered bonds provide a new level of balance in this regard, according to the bank’s head of treasury. Since other borrowers in Japan are sure to be thinking along the same lines, the market for Japan's covered bond is likely to have tremendous scope for growth.

Sumitomo Mitsui Banking Corporation has set a strong precedent for Japan’s nascent covered bond market by attracting a comfortably oversubscribed, diverse, high quality order book for its first deal, the first from Japan.