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  • THE Development Bank of Southern Africa (DBSA) launched a R1bn 16 year bond issue this week through lead managers JP Morgan and Standard Bank of South Africa, establishing the longest tenor in the domestic market this year and achieving benchmark pricing inside DBSA's own existing 10 year bond. The new deal was priced at 70bp over the R157, the benchmark government bond, for a yield of 15.08%.
  • Nomura International's principal finance group (PFG) has made one of its most senior and high profile hires to date by recruiting Michael Johnson, formerly managing director and head of European leveraged finance at DLJ. Reporting to PFG chief Guy Hands, Johnson will be transaction director, overseeing the execution of the group's financial transactions, whether acquisitions, refinancings or exits.
  • SHARES in Deutsche Telecom (DT) gained 23% this week as the market prepared for the company's Eu14bn third equity offering, in which government holding company Kreditanstalt für Wiederaufbau (KfW) will sell 6.6% of its stake. Dr Günther Bräunig, a spokesman for KfW, told Euroweek that the shares' strong performance showed that the size of the issue, which was at one time predicted to be as much as Eu20m, was well received. "It seems that the decision on size has been right," he said.
  • SHARES in Deutsche Telecom (DT) gained 23% this week as the market prepared for the company's Eu14bn third equity offering, in which government holding company Kreditanstalt für Wiederaufbau (KfW) will sell 6.6% of its stake. Dr Günther Bräunig, a spokesman for KfW, told Euroweek that the shares' strong performance showed that the size of the issue, which was at one time predicted to be as much as Eu20m, was well received. "It seems that the decision on size has been right," he said.
  • Czech Republic Arrangers Chase Manhattan and CIBC are holding a bank meeting today (Friday) in Prague for the $450m facility for Cesky Mobil. A Czech bank, thought to be Investicni Postovni Banka, has joined these two banks at the arranging level. Full details should follow next week.
  • Argentina * Republic of Argentina
  • * Goodyear Tire & Rubber Co Rating: Baa1/BBB+
  • Egypt * Credit Suisse First Boston and EFG Hermes launched the $150m IPO for Orascom this week. The deal will enable the company to be listed in Cairo and London through Global Depository Receipts at the end of June. The sale is expected to have significant appeal in the Gulf states where the company operates. Orascom has businesses in Africa in addition to Egypt and some Arab states.
  • FINMECCANICA's Eu6.8bn combined equity and equity linked fundraising is on track for success with the Eu765m convertible already twice covered, although bankers concede the equity placement will go to the wire. Merrill Lynch, Schroder Salomon Smith Barney and Mediobanca are joint global co-ordinators of the deals, which are due to be priced over the weekend. Provisional terms for the equity linked issue were released this week and stirred some controversy among the equity linked fraternity.
  • FINMECCANICA's Eu6.8bn combined equity and equity linked fundraising is on track for success with the Eu765m convertible already twice covered, although bankers concede the equity placement will go to the wire. Merrill Lynch, Schroder Salomon Smith Barney and Mediobanca are joint global co-ordinators of the deals, which are due to be priced over the weekend. Provisional terms for the equity linked issue were released this week and stirred some controversy among the equity linked fraternity.
  • THE China Unicom roadshow began on Monday, and the company hopes to raise up to $5.26bn from international investors and Hong Kong retail buyers as it targets a dual listing on the New York and Hong Kong stock exchanges. But several days into the investor presentations, Hong Kong based fund managers and researchers remain ambivalent about the company and the indicated valuation range.