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  • THE CRITICISM surrounding the Republic of the Philippines' $1.6bn global bond offering continued as pricing further undermined the Ba1/ BB+ rated sovereign's attempts to rebuild its reputation with international investors. Widening secondary market spreads across the sovereign curve prompted claims that lead manager Lehman Brothers had either failed to maintain any control over the deal syndication last Friday, or had walked away in the first days of secondary market trading.
  • * Crediop SpA Rating: Aa2/AA/AA
  • Syndication is underway for a shadow toll project in Portugal for the Scutvias Beira Interior Project. The loan is beng arranged by Banco BPI, Bayerische Landesbank (books), BCPA, BSCH (regional books), Caixa Geral de Depósitos (regional books) and Royal Bank of Scotland (books).
  • Rheinische Hypothekenbank this week launched a ground breaking securitisation of European commercial mortgages that takes cross-border structured finance to a new level and could herald a wave of interest in securitisation from Germany's mortgage banks. The Eu1.345bn deal, lead managed by Barclays Capital as bookrunner and Commerzbank as joint lead, parcels loans on 99 properties in Austria, France, Germany, the Netherlands and Spain.
  • Morgan Stanley Dean Witter this week launched an innovative securitisation for UK retail chain J Sainsbury Plc, backed by 16 of its supermarkets. The £335.5m deal is rare in being backed by leases to a single tenant, and is only the second securitisation of retail property in Europe.
  • Lead arrangers Chase and Morgan Stanley Dean Witter have successfully raised an oversubscription on the Sfr4.1bn financing for Swiss cable company Cablecom, which is being acquired by NTL. By last night (Thursday), 22 banks had committed, with a few still working on the deal. The total raised so far in the underwriting stage is over Sfr7bn.
  • THE African Development Bank (AfDB) this week launched its first public bond issue since October 1997, a ¥50bn issue via Tokyo-Mitsubishi International that marks the start of a higher market profile for the supranational. AfDB treasurer Thierry de Longuemar told Euroweek that the reasons for the strategy are twofold. In January the AfDB approved a new liquidity policy and, according to de Longuemar: "The way to fund that increase in liquidity is to be more active in the market."
  • The $100m loan for African Export-Import Bank (Afreximbank) has launched to general syndication, offering three levels. Co-arrangers will earn 20bp for commitments between $5m and $7.5m, lead managers 15bp for $3m to $4.9m, and managers 12.5bp for $1m to $2.9m. Responses are due by the end of the month.
  • Asia * All Aboard Funding II Ltd
  • Hong Kong * Kowloon-Canton Railway Corp
  • China Arranger BA Asia is waiting for a few stragglers before closing the $120m two year CP backstop facility for Florens Container. The deal will be closed next week, with signing due in April.
  • Australia Co-ordinating arranger Barclays Capital has assembled a sub-underwriting group for the $640m loan for Pacific Carriage and Southern Cross Cables. Subscriptions totaled about $1bn, with each bank's commitment scaled back. There will be no general syndication.