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VEBA, the Düsseldorf-based industrial group, is adding to the wave of German corporate restructurings with plans to spin off its trading and transport division Stinnes. Like many of its compatriots, Veba is engaged in a major exercise to streamline its operations to the core businesses -- in Veba's case, of utilities and telecommunications. It has been spinning off ancillary activities for some time.

THE World Bank and the Kingdom of Sweden took the markets by surprise this week when they launched benchmark 10 year dollar transactions -- with each drawing an overwhelmingly favourable response from the market. The conventional wisdom in the two months since the Asian currency crisis spilled over into the bond markets has been that only issuers with substantial funding left to do in 1997 would tap the public markets in size, as most investors remained on the sidelines.

THE World Bank and the Kingdom of Sweden took the markets by surprise this week when they launched benchmark 10 year dollar transactions -- with each drawing an overwhelmingly favourable response from the market. The conventional wisdom in the two months since the Asian currency crisis spilled over into the bond markets has been that only issuers with substantial funding left to do in 1997 would tap the public markets in size, as most investors remained on the sidelines.

THE SPANISH government has completed its sale of stock in the steel group, Aceralia, in a transaction widely seen as among the more difficult of recent offerings from the Iberian peninsula. BBV, BCH and SBC Warburg Dillon Read acted as global co-ordinators for the Pta123.5bn ($871m) deal.

Zimbabwe Joint arrangers on the one year $25m revolving credit for National Merchant Bank of Zimbabwe Ltd are Citibank International plc and Dresdner Bank Luxembourg SA -- not Deutsche Morgan Grenfell, as incorrectly stated last week.

THE Republic of Argentina successfully launched a $500m five year Yankee bond this week, proving it could access liquidity even in current poor market conditions, but still leaving investor appetite for plain vanilla emerging market new issues untested.

THE Republic of Argentina successfully launched a $500m five year Yankee bond this week, proving it could access liquidity even in current poor market conditions, but still leaving investor appetite for plain vanilla emerging market new issues untested. The so-called Spread Adjusting Notes (Spans) transaction, sole led by Merrill Lynch, was increased from an original $300m as cross-over investors lapped up a coupon resetting structure that offered them Argentina's high spreads but with the lower volatility of a five year Treasury note. On Thursday the offering was trading in line with the five year Treasury, as expected.

Asset backed securities: Hong Kong

China Société Générale Asia has been mandated to arrange a $25m bridging loan for Wuhan Airlines Ltd. Proceeds are to finance the purchase of a Boeing 737-300 to be delivered at the end of December 1997.

Australia The A$1.255bn financing for Edison Mission Energy's Loy Yang B Power Project has been funded and signed according to arranger Chase Manhattan Australia. The borrower is waiting for Moody's and Standard & Poor's to assign ratings to the deal when final banks and allocations will be announced.

Euro-Aussie to be hit by tax change The Euro-Australian dollar bond market could diminish in importance following changes to interest withholding tax (IWT) announced by prime minister John Howard this week.