STERLING

摘要

Coventry Building Society and Legal & General made the most of a relatively undersupplied sterling market to print heavily oversubscribed capital transactions at tight levels last week. "There's been very little supply this year in sterling if you take aside corporates, and what Coventry and L&G show is that for the right name, the market is wide open and issuers can find a lot of depth at attractive prices," said a DCM banker. "The concerns that emerged post-pension changes in the UK have not impacted the market and the long-end remains well bid." Coventry building society was the market highlight, pricing a £400m perpetual non-call 5.5-year at 6.375%, tighter than initial price thoughts of 6.5% area. Barclays, Bank of America Merrill Lynch and RBS led the trade. The pricing offered a small pick-up over Nationwide's £1bn perpetual non-call five in the low 6s, while it was through recent AT1 trades from the likes of Barclays and Deutsche Bank that priced in the high 6s/ low 7s.