The spectre of Jamal Khashoggi’s murder just three months ago failed to impede Saudi Arabia’s return to the international bond market as investors looked past the assassination to get fully behind the deal.
Danske Bank persuaded investors to back a US$3bn senior non-preferred (SNP) issue on Friday, after the threat of new allegations in an ongoing money-laundering scandal temporarily scuppered the trade earlier in the week.
The Republic of Italy could emerge this week with its first institutionally targeted bond syndication in a year, encouraged by deals last week from Belgium, Ireland and Portugal amassing more than €70bn of combined demand.
With the US government shutdown extending into its fourth week, investment banks are facing the increasing likelihood of a January without a single corporate IPO pricing.
Telecom Italia opened 2019’s European high-yield market with aplomb, attracting over €4.5bn of investor demand for a €1.25bn April 2024 deal, which capitalised on the positive news flow out of Italy.
Banks have asked for unusually high fees from a public-sector issuer to underwrite State Bank of India’s up to Rs200bn (US$2.9bn) qualified institutional placement in view of current market volatility.
Anta Sports Products has launched syndication of a five-year €2.2bn loan with a foreign bank-dominated arranger group, demonstrating that sentiment among international lenders remains strong for Chinese privately owned enterprises despite the trade war between the US and China.
US prosecutors said an alleged scam involving US$2bn of loans to Mozambique arranged by three former Credit Suisse bankers and others saw at least US$200m in bribes and kickbacks paid out, and it was all set in motion two years before the first loan was signed.
Mozambique’s drawn-out plans to restructure its debts are likely to be further delayed after the latest revelations from US prosecutors about how the African country originally incurred some of its loans, through an alleged fraud involving bribes paid to former finance minister Manuel Chang.
Chinese property deals have accounted for nearly half of the US$6.9bn sales of Asian bonds, excluding Japan and Australia, in the year so far, as issuers have taken advantage of improved market conditions. While the volatility that took hold in Asian credit markets last year looks set to continue into 2019, the year has begun with enough momentum to raise hopes that issuance volumes could nevertheless resume climbing.
The Asian Development Bank smashed Green Kangaroo bond records last Tuesday, with a debut A$1bn (US$713m) five-year sale that underlines the benefits of placing socially responsible labels on new issues Down Under.