On Wednesday, Abengoa’s bonds dropped like a stone after the troubled Spanish energy company announced that it had started talks with creditors on insolvency proceedings, raising the prospect of a messy restructuring ahead.
Abengoa’s decision to seek creditor protection has raised concerns around how insulated its US-listed yieldco is from the unravelling finances of its Spanish parent.
Vodafone’s botched US dollar bond issue last week could have big ramifications for the telecoms giant and others – especially those exposed to M&A risk from lower-rated companies.
Chinese steelmaker Baosteel gave the sleepy Asian equity-linked market a year-end jolt last week with a US$500m issue of three-year bonds exchangeable into China Construction Bank H-shares.
European Union proposals to restrict the sovereign bond holdings of banks could jeopardise the system by which European governments and public sector entities borrow money, market participants have warned.
A class action lawsuit, filed last Wednesday, accuses 10 of the world’s biggest banks and two trading platforms of conspiring to limit competition in the US$320trn market for interest-rate swaps.
Sovereign wealth funds are stepping into the shoes of dealers to act as liquidity providers in corporate and government bonds.
Russia’s VEB could get US$20bn-equivalent in state aid over the next few years, in a move being heralded as hugely positive despite potentially leading to ratings pressure on the already under-scrutiny Russian sovereign.
Malaysia’s capital markets emerged from the shadow of 1MDB after the troubled state investment vehicle agreed to a multi-billion dollar asset sale and China pledged to support the ringgit bond market.
In response to difficult conditions in the US leveraged loan market, a planned US dollar tranche has been removed from a SFr1.145bn-equivalent (US$1.42bn) Term Loan B backing Chinese conglomerate HNA Group’s acquisition of Swiss air cargo handler Swissport International, and Belgian chemicals distributor Azelis has added a euro tranche to a US$675m-equivalent financing for the purchase of US-based peer Koda.