Pohjola Bank launched the tightest five year senior unsecured euro benchmark of the year on Tuesday, a Eu750m issue that the OP-Pohjola head of group funding said was an opportunistic trade to take advantage of a receptive market.
The Finnish Ministry of Finance presented proposals for the implementation of the CRD IV and CRR framework to parliament last Thursday (17 April), with the proposals in line with expectations, according to an official from the Federation of Finnish Financial Services.
Aktia Bank issued a Eu500m no-grow five year covered bond on Monday, with an official at the issuer noting that the deal gained traction quickly, allaying some nervousness about how it would fare after softening in the wider market late last week.
Aktia Bank announced on Tuesday that it has mandated banks to organise a series of investor meetings for its euro benchmark covered bond programme, with an official at the issuer noting that the roadshow would be used to gauge market conditions and investor appetite.
OP Mortgage Bank sold its first euro benchmark in almost two years on Monday, a Eu1bn seven year issue, but an OP-Pohjola official said that the market would not have to wait so long until its next deal.
Pohjola Bank priced a Eu1.5bn dual tranche senior unsecured deal on Monday that comprised a fixed rate issue in the seven year “sweet spot”, but FIG flow activity was otherwise limited this week.
Finland’s OP-Pohjola Group is seeking to fully acquire Pohjola Bank, having today (Thursday) announced a tender offer for all the shares of the bank that it does not already own.
Nordea Bank Finland got the ball rolling in euro benchmark covered bonds in 2014 when it priced one of the first deals of the year on Tuesday, with Eu8.5bn across nine issues priced by today (Thursday), including one for Norway’s Sparebanken Vest.
Finland’s savings and cooperative banking groups are exploring covered bonds as a funding tool, although no decisions have been made, representatives of the banks told Nordic FIs & Covered.
Aktia Bank priced its first public fixed rate senior unsecured transaction yesterday (Wednesday), a Eu300m four year deal that was well received despite Italian and US politics having cast a shadow over markets this week.