Bankers and investors are gearing up for a jumbo US$31bn financing to back Charter Communications’ long-expected merger with Time Warner Cable, which would combine the fourth and second-largest cable players in the US.
Obrascon Huarte Lain’s bonds were under pressure yet again last week, after the Spanish construction firm revealed that it had to post more collateral against a Mexican margin loan.
It was a week of good news for Ukraine, with a US$1bn sovereign bond issue completed and a core group of creditors provisionally agreeing to state-owned Ukreximbank’s debt restructuring terms. But emerging market watchers warn that troubles in the country are far from over.
An abrupt correction in Chinese equities has clouded the outlook for the US$5.7bn pipeline of Hong Kong IPOs set to hit the market in June.
Over 20 initial public offerings are currently vying for investors’ attention in a rush of issuance across the EMEA region. Just two – Spie and Inwit – stand out with deal sizes in excess of €750m, so each offering will have to prove its value to investors, unable to claim must-have status.
Evergrande Real Estate dragged a HK$4.65bn (US$600m) top-up placement across the finish line last Thursday after finding itself caught in a plunging stock market.
FireEye’s fundraising could hardly have been better timed, with the cyber security company tapping investors just as news broke that 100,000 US taxpayers’ records had been illegally accessed. Adding the Internal Revenue Service to the list of recent hacking victims of JP Morgan, Target and Anthem helped underline the investment case for the convertible bond.
Asian sukuk offerings are drawing more demand from the Middle East, boding well for regional hubs trying to raise their profiles in the Islamic finance market.
Carlos Slim’s America Movil last week gave the equity-linked market a much-needed shot in the arm with a record-breaking €3bn bond exchangeable into Dutch telecoms firm KPN. Investors rushed to buy with a flood of orders at strike, allowing the deal to be priced at the best terms for the issuer and still be 2.5 times covered.