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SWEDISH Export Credit (SEK) this week became the first foreign issuer to launch a Lithuanian litas denominated transaction. This week's offering is SEK's second in a Baltic currency -- in October last year it tapped the Estonian kroon market under the lead of Finland's Postipankki with a Ek60m three year offering.

UNION Bank of Estonia this week launched a two-pronged assault on the Euromarkets with landmark issues in the Deutschmark and dollar sectors. On Tuesday the bank issued its first subordinated debt issue, a DM30m seven year non-call two offering via Nomura which was the first rated deal out of Estonia. Last week, IBCA had assigned the bank a BB+ subordinated debt rating.

GLOBAL co-ordinators ABN AMRO Rothschild and UBS last night pulled the flotation of Dutch electronic switch gear manufacturer Holec after the offer of new and secondary stock was overwhelmingly rejected by local investors. Although bankers involved in the deal described it as a one-off, others pointed out that the deal would likely have worked six months ago; its failure illustrated the change in market sentiment.

JOINT global co-ordinators, Argentaria, Merrill Lynch and Banco Santander, this week filed registration statements with the SEC and the Spanish stock exchange authority (CNMV) in preparation for the sale of stock in the Spanish electricity utility, Endesa. The statements reveal that the government will sell 25% of Endesa's equity capital in the form of 260,005,599 ordinary shares. Of this some 67% (175,503,779 shares) will be earmarked for Spanish investors and within this 149,503,219 will be sold to retail buyers, with 15,600,336 targeted at Endesa employees.

* The largest IPO ever to emerge from Norway is attracting record levels of interest. Goldman Sachs and Fearnley Fonds are leading the global offer of stock in local energy group, Fred Olsen. The company, which is majority owned by the founder, Fred Olsen, is raising around 30% in new capital which will represent the sale of 15m ordinary shares with a 400,000 share greenshoe.

THE French government this week launched the sale of stock in France Télécom, revealing an indicated price range for the shares of between Ffr170 and Ffr190 which was very much in line with last week's expected range of Ffr170 to Ffr200. The authorities will sell a stake of 21.1% in the company; at the mid-point of the price range this will value the sale at between Ffr35.9bn and Ffr40.1bn ($6bn to $6.7bn). The deal has been structured so that 7.5% of the company's equity capital or 75m shares, will be offered to local retail investors.

THE FORTHCOMING international offering for Telecom Italia gathered momentum during pre-marketing this week despite competition for investors' attention from issues for France Télécom and Portugal Telecom. Salesmen in London reported that investors are showing healthy appetite for the shares -- fuelled if anything by Italy and France's contrasting approaches to telecom privatisation.

THE AUSTRALIAN government's offering of shares in Telstra, its national telecoms operator, is proving very successful with domestic retail investors and institutions at home and abroad ahead of the announcement of an indicated price range early next week. Approximately 2.3m retail investors pre-registered for the offering.

THE KINGDOM of Morocco is returning to the syndicated loan market after an absence of more than 15 years. Speculation that the country has been planning to re-establish its name among international bank lenders has been circulating since July following recently successes for Tunisia and, most recently, several Egyptian borrowings.

* Ciba Specialty Chemicals, the spin-off company from the Novartis merger, has set up a $2bn Euro-MTN programme, signalling the arrival of the recently formed company in the international capital markets. Set up at the beginning of this year, Ciba Specialty Chemicals has moved quickly to establish its credentials in the market, taking out a Sfr1.5bn syndicated loan and seeking ratings from international ratings agencies. Setting up a Euro-MTN programme was the next logical step, it said.

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THE SHAKE UP in the investment banking industry continued this week when Travelers Group, the financial conglomerate which owns US brokerage Smith Barney, announced that it is to acquire Salomon Inc for $9bn. As part of the deal, Smith Barney will merge with Salomon Brothers to form a new company, Salomon Smith Barney. The aim of the merger will be to combine Smith Barney's domestic strength in equities, asset management, municipal finance and retail distribution with Salomon's strength in the international fixed income markets.