20th May 2025

Fresh in the CEEMEA Pipeline

Priced Deals

On the Radar

• After speaking with investors, Saudi Arabia’s Alinma Bank (A2/A-/A-) has opened books on its USD-benchmark sustainable unrated RegS PNC5.5 AT1 sukuk at 7.00% area IPTs.
  • That follows last week’s trio of well received PNC5.5 AT1 sukuk trades from Kuwait’s Warba Bank, Saudi Awwal Bank (which had a green angle) and the debut from Saudi Arabia’s Bank Albilad. The two Saudi AT1 sukuks priced at 6.50% and are little moved in the secondary.
  • Alinma Bank’s last offering was a USD1bn PNC5.5 AT1 sukuk that also priced at 6.50%. A book size of USD4.5bn+ helped to drive a 50bp compression from IPTs. That bond was seen trading around 6.15% in the secondary on Monday morning.
  • Abu Dhabi Islamic Bank, Alinma Capital Company, Emirates NBD Capital, J.P. Morgan, Goldman Sachs and Standard Chartered Bank are Joint Bookrunners and Joint Lead Managers.

• Also awaited from the GCC, AlRayan Bank Q.P.S.C. (A2 Moody’s), the second largest Islamic bank in Qatar and third largest bank by total assets, commenced investor calls and meetings on Monday for a RegS only USD-benchmark fixed rate 5-year sukuk offering.
  • AlRayan Bank has mandated HSBC and Mizuho as Joint Global Coordinators and, together with Al Rayan Investment, Dubai Islamic Bank, Dukhan Bank, The Islamic Corporation for the Development of the Private Sector, Mashreqbank, MUFG, Qatar International Islamic Bank, QNB Capital, SMBC, Standard Chartered Bank and Warba Bank as Joint Lead Managers and Bookrunners.
  • A pre-recorded Global Investor Call will be made available. Mizuho is coordinating logistics.

• Meanwhile, Endeavour Mining plc (BB-/BB) is looking to return to the primary market after a lengthy absence. The West African-focused leading global gold miner has been sounding out investors for a USD500mm 5NC2 144A/RegS Senior Notes offering.
  • Citigroup is Global Coordinator, together with BMO, HSBC and ING as Active Bookrunners.
  • Endeavour was last in the market five years ago, making its debut with a 144A/RegS USD500mn 5NC2 notes offering that priced at a yield of 5.25%, in from the high 5%s IPTs, on the back of a USD1.8bn+ order book. These bonds are now subject to a tender offer.

• Turning to the CEE, MFB Hungarian Development Bank (Baa2/BBB), mandated BNP Paribas, Erste Group, ING, J.P.Morgan, Morgan Stanley and Raiffeisen Bank International as Joint Lead Managers in connection with an EUR-benchmark 5-year senior unsecured RegS transaction. Investor calls and meetings commenced on Monday.
  • MFB was last in the market in 2023, but that was for dollars. It has not issued in euros since mid-2021, when it raised EUR500mn via a 5-year (Jun-2026) RegS bond at a spread of m/s +70bp, 20bp inside IPTs on the back of EUR1.7bn+ order book.
  • This deal was priced off the sovereign curve and based on the comps provided at the time by leads, looked to offer a NIC of 10bp.

• Tatra banka, a.s., has mandated BayernLB, IMI – Intesa Sanpaolo, ING, Raiffeisen Bank International and UniCredit to act as Joint Bookrunners for its upcoming EUR500mm (WNG) European Covered Bond (Premium) transaction, backed by prime Slovakian residential mortgage loans. The deal will have a 5-year maturity and is expected to be rated Aaa by Moody's. The transaction will be launched soon, subject to market conditions. The issuer is available for investor calls upon request.
• Links to the base prospectus, investor presentation and cover pool information can be accessed here.
  • Leads have provided the following comps:
  • 500M SLOSPO 2.750 01/2029 I+37 Aaa
  • 500M VUBSK 3.000 05/2032 I+59 Aa1

• J&T Banka (Baa2), the seventh largest bank in the Czech Republic by loan book and capital, is looking to issue a EUR300mn (WNG) RegS senior preferred bond (MREL eligible) with a 6NC5 structure.
  • J&T Banka has mandated BNP Paribas, Goldman Sachs Bank Europe SE, J&T Banka, a.s., Morgan Stanley Europe SE and UniCredit Bank GmbH as Joint Lead Managers. Raiffeisen Bank International AG and Wood & Company will act as Co-Managers.
  • The notes are expected to be rated Baa3 by Moody’s and will be issued under the Issuer's EUR3bn EMTN Programme.
  • Investor calls will continue Tuesday. For the schedule and investor presentation, please see here.
  • The issuer has also announced a tender offer for its EUR120mn 7.500% Senior MREL 2026 NC 2025 Notes, issued in October 2023.

• Offering some rarity value, Ceske drahy a.s. (Baa2), the 100% state-owned Czech national railway operator, has mandated BNP Paribas and Erste Group Bank as Joint Global Coordinators and Joint Bookrunners and ING, KBC and Raiffeisen Bank International as Joint Bookrunners to arrange a series of investor calls across Monday and Tuesday. A EUR500mn no grow long 5-year (Jul-2030) bond offering will follow.
  • The notes are expected to be rated Baa2 by Moody’s.
  • Ceske drahy’s existing euro curve currently only extends to a EUR500mn 5.625% Oct-2027 green line launched in October 2022 on the back of a book that was just covered at EUR590mn. That bond is included in the below list of comps provided by leads, seen quoted at I+79bp in the secondary.
  • Note, this will mark just the second euro IG corporate trade from a Czech borrower this year after CEZ a.s (Baa1/A-) printed a EUR750mn 4.125% Apr-2033 SLB at m/s +185bp into demand of EUR2.4bn (EUR2.7bn peak).
    • Indicative, Pre announcement, Bid Side, vs Mid Swap (Ispd):
    • Ticker Size (mn) Rating Coupon Issued Maturity I-Spread
    • CESDRA 500 Baa2/-/- 5.625 05.10.2022 12.10.2027 +79
    • CEZCP 725 Baa1/A-/- 3.000 28.05.2013 05.06.2028 +95
    • CEZCP 700 Baa1/A-/- 4.125 28.08.2024 09.05.2031 +148
    • CEZCP 750 Baa1/A-/- 4.250 06.03.2024 11.06.2032 +154
    • FERROV 600 -/BBB+/BBB 4.125 16.05.2023 23.05.2029 +100
    • FERROV 500 -/BBB+/BBB 4.500 16.05.2023 23.05.2033 +110
    • FERSM 500 -/BBB/BBB 3.250 08.01.2025 16.01.2030 +84

What to watch on Tuesday

Key events:

Wider market Sentiment

• USD Index at 100.181
• UST 2yr/10yr at 3.960%/4.447%
• Bund 2yr/10yr at 1.818%/2.569%
• Brent at $65.30/brl

---- Subscribe to read more ----

To receive this analysis plus much more, subscribe to IGM. Request your free trial of the service today.