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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
FINANCIALS
NBG (ETE GA) has mandated a EUR benchmark Tier 2 (11.25NC6.25) issue – we saw fair value in the MS+330bp area yesterday. IPT is now out with yield of 6.25% area. Recasting our FV to yield, we see FV at 6.0% area.
- Tier 2 is a thinner market for pricing new issues. On the graphic, we’ve plotted two lower-rated banks (Monte Paschi and Piraeus, both B1) against Eurobank and NBG (both Ba3).
- The EUROB 6.25 was issued Jan-24 at EUR300m whereas the ETEGA 8 was Sep-23 but in larger size (EUR500m). The EUROB 10 was issued Dec-22 into a post-COVID world of rising rates and is now pricing around 113, hence its relatively tight spread, we feel.
- This issue is coming at benchmark size so could well price tighter than EUROB 6.25, we feel. We see fair value as tight at 6.0% yield area.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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