Spain

Spain, fresh from its success with a 10 year benchmark on Tuesday, is eyeing a return to the long end of the syndicated inflation linker market towards the end of the year.

Spain’s Masmovil has completed a second round of refinancing on its bank loans, shaving a further 100bp off the cost of its total debt pile and ramping up the size to €831m.

Public sector issuers have streamed back into the primary market in euros after being kept away by weeks of volatility. This week is already the second busiest of the year for the sector, but investors are starting to focus on where interest rates are headed.

Two euro borrowers launched benchmarks on Wednesday, sharing the SSA euro market. While both secured successful deals, one found the market tougher going, as investors pushed back.

A pair of borrowers have hit screens for euro benchmarks to be sold during Tuesday’s session, but another nipped in ahead of the rush to price on Monday.

Sovereign debt officials praised the role primary dealers played during the volatility that hit eurozone government debt markets in the second quarter, though some still feel the system is “not ideal”.

Spanish electricity utility Iberdrola has been one of the leading corporate issuers of green bonds and, on Thursday, it took its total green issuance to more than €7bn with its latest offering.

Terms have been set on the £1bn rights issue of DS Smith, the UK packaging company, to fund its acquisition of Spanish rival Europac.

Those who invested in failed Spanish lender Banco Popular will have a right to be heard before the EU authority publishes the final assessment of the bank’s value next month, the Single Resolution Board (SRB) said this week.

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The Basque Government this week gave one of the best signs that investor worries about Italy’s political situation are unlikely to spill over to other countries as it printed a three times subscribed debut sustainability bond.

Cajamar Caja Rural found good demand for a €500m five year Cédulas on Thursday, suggesting that investors are differentiating between Spanish and Italian bank risk, and with a further spread widening anticipated, peripheral issuers have every incentive to consider follow-on deals.