9th June, 2025

It was always expected to be a blank start to the new week on the issuance front given the Whit Monday holiday in much of Europe, and that indeed is the case.

There has been some movement in the pipeline though with Urenco (EUR500m no grow 10yr), Amphenol Corporation (EUR 7yr benchmark) and Alfa Laval (EUR300m no grow 6.25yr) hiring leads for euro lines, whilst ABP Finance (GBP 12yr secured) is to offer a sterling option. All three are earmarked for as early as Wednesday’s business.

The single currency lines will contribute to a week which participants still expect to see as much as EUR12.5bn of euro corporate (ex-HY) cross the tape despite the shrunken window. For note, the average issuance estimate in our poll came in at EUR9bn.

That after the sector continued to churn out euro deals at a pace last week despite trade talk casting a shadow over broader risk markets and the distraction of Thursday’s ECB meeting.

Given the focus on the ECB, all of last week’s 14 corporate issuers came out between Monday and Wednesday, in turn raising EUR9.9bn via 17 separate tranches.

That meant we beat the average weekly estimate of EUR7bn but fell agonisingly short of the highest forecast of EUR10bn.

In turn, the year-to-date haul for the asset class is now at EUR205.45bn, marginally short of the EUR207.5bn to have priced by this stage in 2024.

Despite a heavy run of sales (EUR97.85bn has priced in the last six weeks), investors showed that they still have plenty of cash to put to work in the euro corporate market.

Combined orders for last week’s EUR9.9bn of paper finished up at EUR32.45bn, with an average cover ratio of 3.48x recorded, almost identical to the 3.49x average the previous week.

Several of last week’s trades were from debut or rare names, so fair value on those wasn’t easy to pinpoint, but across the deals where a NIC was assigned the average paid came in at 2.58bps last week.

That was a slight rise from the previous week’s 0.83bps. See the IGM CORP WEEKLY for a full recap.

Summary of last week's EUR IG corp trades:

Urenco to create euro curve with 10yr

** British-German-Dutch nuclear fuel consortium Urenco (Baa1/BBB+), a provider of uranium enrichment services and fuel cycle products for power generation, hired Barclays, BNP Paribas, Deutsche Bank and Santander as Joint Bookrunners to arrange a series of fixed income investor calls commencing 9-10 Jun. A EUR500m no grow 10yr senior unsecured bond transaction is set to follow

• The notes will be issued by the company’s Dutch arm Urenco Finance N.V
• Urenco intends to use the net proceeds for general corporate purposes
• The company has just one euro deal outstanding in the form of EUR500m 3.25% Jun 2032s launched in Jun 2022 at m/s +143 into books of EUR1.65bn (EUR1.85bn peak)
• Those Jun 2032s were spotted by leads at i +99 pre-announcement and highlighted on the official comps list along with the curves of other energy sector peers

Ticker Ratings (M/S/F) Cpn Mat TTM Amt I-Sprd

URENCO Baa1/BBB+/- 3.250 Jun-32 (7.0y) 500 +99

EDF Baa1/BBB/BBB+ 3.250 May-32 (6.9y) 750 +102

EDF Baa1/BBB/BBB+ 4.375 Jun-36 (11.0y) 880 +139

EDF Baa1/BBB+/BBB+ 4.000 May-37 (11.9y) 1000 +140

ENELIM Baa1/BBB+/BBB+ 3.000 Feb-31 (5.7y) 750 +91

ENELIM Baa1/BBB+/BBB+ 3.875 Jan-35 (9.6y) 1000 +123

EOANGR Baa1/BBB+/BBB+ 3.125 Mar-30 (4.7y) 750 +59

EOANGR Baa1/BBB+/BBB+ 3.500 Apr-33 (7.9y) 850 +101

EOANGR Baa1/BBB+/BBB+ 3.875 Sep-38 (13.2y) 500 +124

EOANGR Baa1/BBB+/BBB+ 4.000 Jan-40 (14.6y) 900 +131

SSELN Baa1/BBB+/BBB+ 3.500 Mar-32 (6.8y) 600 +96

SSELN Baa1/BBB+/BBB+ 3.375 Sep-32 (7.2y) 850 +107

NGGLN Baa1/BBB+/BBB+ 3.631 Sep-31 (6.2y) 700 +103

NGGLN Baa1/BBB+/BBB+ 3.724 Nov-34 (9.5y) 600 +131

NGGLN Baa1/BBB+/BBB+ 3.917 Jun-35 (10.0y) 700 +137

RWE Baa1/BBB+/BBB+ 3.625 Jan-32 (6.6y) 500 +90

RWE Baa1/BBB+/BBB+ 4.125 Feb-35 (9.7y) 500 +110

ENBW Baa1/BBB+/BBB+ 3.500 Jul-31 (6.1y) 650 +85

ENBW Baa1/BBB+/BBB+ 4.300 May-34 (9.0y) 850 +113

ENBW Baa1/BBB+/BBB+ 3.750 Nov-35 (10.5y) 1000 +119

Alfa Laval to launch M&A-driven EUR300m 6.25yr

** Sweden’s Alfa Laval AB (BBB+), a provider of first-rate products in the areas of heat transfer, separation, and fluid handling, mandated BNP Paribas, HSBC, Nordea and SEB as Active Bookrunners to arrange a series of fixed income investor calls on 10-Jun. A EUR300m no grow 6.25yr senior unsecured bond is to follow

• The notes are to be issued via Alfa Laval Treasury International AB
• Expected to be rated BBB+ by S&P
• The use of proceeds will be for general corporate purposes and partial financing of the acquisition of Fives Cryogenics. Alfa Laval announced the ~EUR800m acquisition of the Fives Cryogenics business unit, part of the French Fives Group, earlier this year. More details here
• In terms of outstanding bond debt, Alfa Laval has just two lines outstanding in the form of EUR300m 0.875% Feb 2026s and EUR300m 1.375% Feb 2029s both launched in Feb 2022. The longest of those was spotted on screens at i +68 bid when the new mandate was announced Monday morning

Amphenol Corp to return to euros after five-year hiatus

** US electronic connector manufacturing company Amphenol Corporation (A3/A-) mandated BNP Paribas, Citigroup and Commerzbank to organize a series of European fixed income investor calls commencing on 10-Jun. A EUR 7yr SEC-registered benchmark is set to follow

• This will extend Amphenol’s fledgling euro curve from a EUR500m 2% Oct 2028 line launched in 2018, whilst its only other single currency bond is a EUR500m 0.75% May 2025 from 2020. The former was bid at an indicative i +45 bid on screens this morning
• The borrower will add to the huge year-to-date euro reverse yankee haul of EUR51.11bn which is already within striking distance of 2024’s full-year total of EUR61.01bn

ABP Finance to offer new 12yr GBP alongside tender

** UK borrower ABP Finance plc (Baa2/A-), a special purpose refinancing company, mandated BNP Paribas, Lloyds and NatWest as Active Bookrunners to arrange a series of fixed income investor calls commencing 9-10 Jun. A GBP 12yr benchmark senior secured bons, with limited recourse, is expected to follow

• The bond is expected to be rated Baa2 by Moody’s and A- by Fitch
• A concurrent tender offer on ABP Finance plc’s GBP500m 6.25% Dec 2026 notes, capped at GBP150m, has also been announced. That deal launched way back in 2011 and marks the company’s only outstanding bond issue

Indicative pre-announce bid side levels vs gilts

* Airport / Infra Comparables *

Ticker Rating Cpn(%) Issue Dt Mty Dt Tenor Amt(£m) G+(bid)

GATAIR Baa1/BBB+/BBB+ 5.750 Jan-12 Jan-37 11.6y 300 105

GATAIR Baa1/BBB+/BBB+ 3.125 Sep-17 Sep-39 14.3y 350 107

GATAIR Baa1/BBB+/BBB+ 5.500 Apr-24 Apr-40 14.8y 250 107

MAGAIR Baa1/NR/BBB+ 4.750 Feb-14 Mar-34 8.8y 450 85

MAGAIR Baa1/NR/BBB+ 2.875 Nov-17 Mar-39 13.8y 300 98

MAGAIR Baa1/NR/BBB+ 6.125 Sep-23 Mar-41 16.3y 360 106

MAGAIR Baa1/NR/BBB+ 5.750 Apr-24 Mar-42 17.3y 300 110

HTHROW NR/BBB+/A- 5.875 May-11 May-41 15.9y 750 104

TCLAU Baa1/NR/A- 6.6087 Apr-25 Apr-40 14.8y 300 113

Performance tracker of recent EUR IG/split-rated benchmark deals

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