Portugal

Portuguese insurance firm Fidelidade is looking to raise tier two capital. It is the latest in a line of less familiar issuers in the sector.

Sumitomo Mitsui Financial Group came to the market on Tuesday with a senior deal that it originally announced in May. Meanwhile, Investec and Fidelidade were consulting on subordinated deals.

Portugal’s planned Panda bond is “being finalised” and the sovereign is “looking closely” at the green bond market, according to the country’s minister of finance.

On Wednesday the UK’s final court of appeal rejected Goldman Sachs’s attempt to recover money lost on a loan to Banco Espírito Santo through the British courts. The judge said the EU’s framework for dealing with failing banks might be undermined if the actions of resolution authorities could be challenged outside of their home country.

On Wednesday the UK’s final court of appeal rejected Goldman Sachs’ attempt to recover money lost on a loan to Banco Espírito Santo through the British courts. The judge said that the EU’s framework for dealing with failing banks could be undermined if the actions of resolution authorities could be challenged outside of their home country.

Look past the investor disputes, the non-performing assets and the triple-C rating. A risky form of debt in one of Europe’s most troubled banks might just be a screaming buy opportunity.

Novo Banco announced the successful pricing of its first public bond issue on Friday afternoon, with the vast majority of investors coming from outside of Portugal despite protests from international investors.

Novo Banco looked set to be able to place a tier two bond after announcing exchange offers from senior bondholders on Friday. But the Portuguese lender is beleaguered by investor protests as it seeks to complete a crucial stage on its path to becoming a normal bank. Jasper Cox reports.

UK asset manager Winterbrook Capital has gone public with a claim that events of default have occurred on Novo Banco senior notes, on the week in which the bank is attempting to sell a tier two bond and tender old senior bonds.

Novo Banco is looking to issue a tier two bond, as it part of an agreement reached when it was acquired by US private equity firm Lone Star last year. But under that agreement the Portuguese Resolution Fund is obliged to step in if the bank cannot place €400m of notes privately.

Sovereign debt officials praised the role primary dealers played during the volatility that hit eurozone government debt markets in the second quarter, though some still feel the system is “not ideal”.

Caixa Geral de Depósitos brought a well-flagged capital trade on Thursday, offering investors a premium to complete a requirement of its recapitalisation plan. But some investors did not participate, citing disgruntlement with how the Bank of Portugal handled Novo Banco's bonds.