BONDS COVERED BONDSseem to be on the cards; it’s certainly
nothing that was discussed in the bond
roadshow,” said an investor.
“The move in the bonds is [also] a function
of many people being underweight in the
name ... the Street is not positioned to offer
bonds,” the investor said.
The company’s €1.75bn 3.125% senior
secured 2025 rallied just under 16 points to
96.16, from 80.50 at Tuesday’s open,
according to Tradeweb data. A €1.625bn
2.625% 2023 senior secured note gained over
12 points, peaking at 96.40 bid from 84, and
a €2.25bn 2024 senior secured FRN rose
almost 14 points, reaching 96.50 from 82.63.
Gains later stabilised, with the 2025s
down to 95.10, the 2023s at 95.27 and the
2024s at 94.87.
All three were issued in October as part of a
õBN
EQUIVALENTûRElNANCINGûTRADEûTHATû
also included a US dollar tranche. The euro
notes, totalling €5.625bn, priced as the largest
ever euro-denominated high-yield deal.
The bonds have traded poorly since launch,
rattled by poor earnings and concerns around
tough competition conditions in anticipation
of France’s Iliad entering the Italian market,
which took place in late May.
Wind listed Iliad’s entry as one of its top
risk factors in the prospectus for the bonds.
(UTCHISONSûPURCHASEûISûEXPECTEDûTOû
complete in the third or fourth quarter,
subject to EU merger control clearance and
Italian regulatory approval.
Wind Tre was formed by the merger in
November 2016 of VimpelCom’s Wind
Telecomunicazioni and CK Hutchison’s H3G.
AUTODIS PRICES FRN TAPFrench auto parts maker AUTODIS priced the
tap of its €340m May 2022 senior secured
FRN last Thursday.
The €175m add-on came at 99.50, the top
end of the 99.25001-99.50 guidance range.
The original tranche was quoted as high
as 100.40-101.185 on Monday before the
mandate was announced, according to
Tradeweb data. It traded as low as 99.07-
100.23 on news of the supply, but had
recovered to 99.68-100.74 by pricing.
Though coming at the top end, the
guidance range was unchanged from the IPTs
announced with the mandate on Monday.
Deals in recent weeks have struggled to
tighten pricing as investors are looking for
higher new-issue premiums.
In late June, BWAY Holding priced a
€475m April 2024 senior secured at 4.75%,
unchanged from 4.75% area talk, while
3MURlTû+APPAûPRICEDûAûõMû
YEARûNON
call life note at 2.875%, the mid-point of
2.75%-3% guidance. Radisson’s debut €250m
5NC2 debut priced at an OID to yield 7%
after setting 7% area talk.
“It’s been since April that order books are
slower to build and new-issue premiums have
been creeping up. Issuers haven’t been able to
push people through the tight end of guidance
and people have wanted more protection in
terms of documentation on certain types of
transactions,” said a syndicate banker.
“That has been happening for many
months. The difference now is that that’s now
the case all the time, because the technical is
very different as people have moved back to
their traditional homes,” he said.
Autodis’ original tranche, which priced at
437.5bp over Euribor in November 2016,
will pay a 4.375% coupon in August,
according to Thomson Reuters data.
It is the second time Autodis has tapped the
original tranche. In April 2017, the company
added €80m at 100.50. Proceeds from that deal
were used to repay its RCF and fund future M&A.
Proceeds of the latest tap will in part
RElNANCEûACQUISITION
RELATEDûDRAWINGSû
under an RCF and repay holdco pay-if-you-
can notes. The €64m 9% Nov 2020s were
issued in November 2015 as a €239m
offering. Callable since November 2016,
they have been partly redeemed twice - in
November 2016 and December 2017,
according to Thomson Reuters data.Joint bookrunners were BNP Paribas (lead
LEFT û"$ ûCitigroup, Goldman Sachs and JP
Morgan.CABOT FINANCIAL ANNOUNCES
EXCHANGE OFFER AND TAPCABOT FINANCIALûANNOUNCEDûANûEXCHANGEûOFFERû
ONûITSûEXISTINGûaMûûSENIORûSECUREDû
2020 notes and £175m 6.5% senior secured
2021 notes into a tap of its £350m 7.5%
senior secured 2023 notes.
0ROCEEDSûWILLûBEûUSEDûTOûRElNANCEûTHEû
NON
EXCHANGINGûHOLDERSûOFûTHEûûNOTESû
after August 1 at a redemption price of
102.094. The additional offering size is
£100m, less the principal amount of the
2020 notes validly tendered and accepted in
THEûEXCHANGEûOFFER
Goldman Sachs, DNB Markets, HSBC and
Morgan Stanley are global coordinators on the
additional notes with Credit Suisse, Lloyds, MUFG
and Natwest Markets as joint bookrunners.
Goldman Sachs is lead dealer manager on
THEûEXCHANGEûANDûCONSENT ûWITHû-ORGANû
Stanley as international dealer manager.JP MORGAN SENDS SAVE-THE-DATEJP Morgan has sent a high-yield save-the-date
notice for an issuer in the autoparts sector.
A London group meeting will take place
in the City at noon on Monday.FEDRIGONI PLANS FRN TAPFEDRIGONIûVIAû&ABRICû"# û3P! ûWILLûBEûONûTHEû
road from July 9-11 with a €125m add-on to
its November 2024 senior secured FRN via
BNP Paribasû"$ ûHSBC, KKR and UBI Banca.
IPTs are 97.00.
The Italian manufacturer and distributor
of specialty paper, rated B1/B+, plans to use
the proceeds to fund consideration payable
for all of the issued and outstanding share
capital of Cordenons (via the Bianco funding
LOAN ûREPAYûTHEû#ORDENONSûEXISTINGûDEBTûVIAû
THEû#ORDENONSûFUNDINGûLOAN ûANDûPAYûFEESû
ANDûEXPENSESûINCURREDûINûCONNECTIONûWITHû
the offering and the Cordenons acquisition.STRUCTURED FINANCE
EMEA MBS
BALANCING ACT FOR MORGAN STANLEY’S
LIBRA CMBSMorgan Stanley priced European multi-
borrower CMBS LIBRA %,/#û ûONû&RIDAYû
afternoon, pricing the top four tranchesALL INTL AUSTRALIAN DOLLAR BONDS
BOOKRUNNERS: 1/1/2018–30/6/2018
Managing No of Total Share
bank or group issues A$(m) (%)
1 TD Securities 47 3,318.28 15.7
2 RBC 33 2,390.95 11.3
3 Nomura 25 2,386.05 11.3
4 Deutsche Bank 20 1,615.79 7.6
5 Mizuho 11 1,527.13 7.2
6 JP Morgan 10 1,435.73 6.8
7 ANZ 10 1,301.66 6.1
8 Daiwa Securities 14 1,086.74 5.1
9 NAB 8 944.03 4.5
10 CBA 7 649.25 3.1
Total 138 21,179.20
Including preferreds. Excluding equity-related debt.
Source: Thomson Reuters SDC code: K1GLOBAL DIM SUM BONDS
BOOKRUNNERS: 1/1/2018–30/6/2018
Managing No of Total Share
bank or group issues Rmb(m) (%)
1 HSBC 43 14,414.02 34.0
2 Standard Chartered 26 11,505.94 27.2
3 Credit Agricole 16 3,975.80 9.4
4 Bank of China 4 2,005.77 4.7
5 Citic 4 1,903.34 4.5
6 BNP Paribas 4 1,241.00 2.9
7 Goldman Sachs 2 1,075.00 2.5
8 DBS Group 1 1,000.00 2.4
=8 KGI Financial Services 1 1,000.00 2.4
10 China Merchants Bank 1 750.00 1.8
Total 95 42,367.44
Including preferreds. Excluding equity-related debt.
Source: Thomson Reuters SDC code: AS24a