BPIM and CM-CIC get over finishing line
Crédit Mutuel-CIC (CM-CIC) and Banca Popolare di Milano (BPIM) issued 10 year covered bonds into relatively weak market conditions on Wednesday. Because of its larger size and tighter spread the French deal was probably the frailer of the two, and while both issuers met their funding targets in terms of size and spread, neither proved particularly popular.
SEB issues with smallest ever coupon
SEB Germany’s three year public sector Pfandbrief issued on Tuesday offered the lowest ever yield for a primary covered bond. But some sort of positive return was absolutely necessary, even if it was as tiny as possible.
Aegon issues debut Dutch covered bond
Aegon Bank was raised €750m for its debut covered bond. The five year conditional pass through (CPT) offered a fair pick-up to where Dutch national champions would have priced, and the level of other Dutch CPTs, and the issue drew a moderately oversubscribed book.
BayernLB enjoys strong support
BayernLB issued a well oversubscribed Pfandbrief on Tuesday and priced somewhat tighter, and with a longer maturity, than other recently issued German covered bonds. The pricing showed that German investors can still just about demonstrate differentiation between credits, despite low yields and tight spreads across the board.