GLOBALCAPITAL INTERNATIONAL LIMITED, a company

incorporated in England and Wales (company number 15236213),

having its registered office at 4 Bouverie Street, London, UK, EC4Y 8AX

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  • Anyone who hoped that the dawn of the euro would create at stroke a unified, harmonised pan-European commercial paper market is either a hopeless idealist - or has no idea how national regulators and European bureaucrats work.
  • The Euro-commercial paper market is on a roll. The arrival of the euro has provided the trigger for major growth in the base of issuers, investors and intermediaries in Europe's money markets.
  • How does a major player such as Barclays Capital operate its ECP business? How do sales, trading, syndicate and origination function together? And how does the firm try to keep a step ahead in a business where time is of the essence and where being the first to spot opportunities - and relay them to customers - is vital?
  • How does a new borrower get established in the ECP market? What are the costs of setting up a programme? How many dealers should there be? How pro-active should the issuer be in marketing its credit and setting price levels? And what are the keys to a successful programme?
  • 'Hedging' in its broadest sense means the reduction of risk by exploiting relationships or correlation between various risky investments.
  • * Market participants in Asia said this week that Bear Stearns was on the verge of launching Japan's first residential mortgage securitisation, for Sanwa Bank. Observers expected SHL 1999-1 Corp to be denominated entirely in yen, and to emerge at the original price talk. The ¥22bn 'A1' note, rated triple-A by Fitch IBCA and Moody's, is set to price at 40bp over three month Libor with a 1.9 year average life.
  • KOREA Telecom this week boosted the nascent recovery of the Asian equity capital markets with a $2.49bn ADR sale - a record for the region - that continued the success of the Korean privatisation programme. Bankers said the 90.2m ADR issue was five times oversubscribed - despite its pricing at the top end of a revised price range. Rivals were quick to congratulate the US bank on the deal, which has been almost two years in coming.
  • Australia Warburg Dillon Read has been mandated for the A$80m listing of TV Shopping Network (TVSN). A roadshow is expected to be launched within a fortnight and listing should occur in late July.
  • MERRILL Lynch completed the largest bookbuilt offering for an Australian property trust this week with a A$220m placement for General Property Trust (GPT). The sale was increased by 10% on the back of strong demand. The GPT shares were sold at A$2.48 each - a discount of 2.3% to last Thursday's close. The sale of the units underpinned the purchase of property in central Melbourne and was closed within 15 hours of its opening, according to bankers.
  • ING Barings and Merrill Lynch will launch an IPO for Sinar Mas spin-off Agri Resources within the next month in a move that could raise up to $400m. Neither bank will comment on the existence of the mandate - or the timing of any deal - but Euroweek has learnt that the banks were recently awarded the lead roles, expected to be completed in early July.
  • THE PORTUGUESE government has completed the sale of 12m shares in Brisa-AutoEstradas de Portugal. The sale was the third opportunity for investors to purchase shares in the state-controlled motorway/toll road operator, and illustrates the strength of demand for defensive stocks. The sale was run by Banco Cisf and Deutsche Bank and involved the divestment of 20% of Brisa's equity capital. The deal attracted strong orders from investors both in the local and international markets.
  • THE Eu10bn sale of shares in Deutsche Telekom is generating keen interest among pan-European institutional and retail investors. The capital increase was not tied to the success of DT's bid for Telecom Italia and bankers say that, as a result, its chances of a successful sale have not been affected by Olivetti's victory over the German group for control of Telecom Italia.