Search results for

BANGKOK Bank completed the largest ever exchange offering from Asia yesterday (Thursday), raising $259m of much needed Tier 1 capital. Led by Morgan Stanley Dean Witter, the $716.7m exchange by Thailand's largest commercial bank effected a clever means of bolstering the bank's capital ratios at a time when more conventional means of re-capitalisation have been all but closed.

GOLDMAN Sachs this week launched the $220m 'H' share IPO for Shandong International Power Development (SIPD), aiming to defy gloomy market predictions, the demise of Heilongjiang Agriculture's IPO and investors' concerns over China's economy and currency. The US bank had already bolstered its credentials during the week with a $60m placement for leading Hong Kong trading company Li & Fung.

THE INDEPENDENT State of Papua New Guinea is considering turning to the capital markets for financing to help bridge a projected budget deficit of 2.9% for the 1999 fiscal year. Deputy prime minister Iairo Lasaro told Euroweek that a government delegation is currently in Australia with the aim of canvassing the banking community for possible options.

ARGENTINA is hoping to launch another Brady bond exchange offer as soon as the markets improve, its head of public credit, Federico Molina, revealed this week. The deal, to take Par and Discount bonds held by local pension funds and other institutional investors in Argentina in return for its global bonds due 2017, will be modelled on a similar swap by the government last May, when local funds swapped Pars and Discounts at market prices and with a nominal value of $868.9m for $685.1m of Argentina's 30 year global bonds, due 2027.

THE ALMOST year-long drought of Latin new equity issues was broken this week when the Argentine government priced its long-awaited initial public offering in mortgage bank Banco Hipotecario. The deal, led globally by Credit Suisse First Boston and Dresdner Kleinwort Benson, with BankBoston as local lead, raised $262.5m through the sale of 37.5m shares, representing 25% of the bank.

EMERGING market bonds climbed yesterday (Thursday), despite a continued slide in the Brazilian real, as local investors bought on rumors of an imminent fiscal announcement and a possible change of guard at the country's central bank. Brazilian C bonds jumped 1.25 to close at 52.75 and the country's Par bonds rose 1.75 to 53.75, while Argentina's 2017 globals soared two points to 92 and Mexico's 2026 globals rose 1.125 to 104.875.

* ING Barings has completed a Ck7bn placement of 10 and 15 year bonds for Czech electric utility Cez .

THE REPUBLIC of Turkey's decision to become the first sovereign borrower to launch a legacy currency bond since the launch of the euro paid off handsomely this week. The B1/B rated sovereign gained a highly enthusiastic reception for its DM750m 9.25% four year transaction.

THE BUOYANT state of the US equity new issue market showed little sign of diminishing this week as a number of new and secondary offerings were completed and further sales announced. Merrill Lynch took the helm for two high profile secondary offerings and an IPO. All three transactions were completed yesterday (Thursday).

AMSTERDAM-based cable TV company United Pan-European Communications (UPC), amended its SEC filing this week, announcing a pricing range of Eu24-Eu27 for its upcoming IPO. The range values the flotation at around Eu1bn or $1.18bn, higher than the $650m amount originally expected. In addition to increasing the size of the institutional offering -- from $650m to $800m -- on the back of strong market conditions, Microsoft is also to make a $300m investment in the company.

* The Portuguese government plans to float a further 15% of Portugal Telecom in the first half of this year, reducing the state's stake in the firm to around 10%. Deputy finance minister Fernando Teixeira dos Santos said the share offering -- the latest in a series of successful selldowns -- would be accompanied by a capital increase and a convertible bond issue.

EQUANT, a leading provider of international data network services to multinational businesses, has taken advantage of the extraordinary euphoria surrounding the global telecom sector to announce a large secondary offering via Morgan Stanley Dean Witter. As foreshadowed by Euroweek last Friday, the alternative telephony company filed with the SEC in Washington on Monday for the offer of some 35m shares worth more than $2.6bn.