Akbank steady out of the chute; Kenya, Belarus launch benchmark deals; volatility picks up

By Rebecca Melvin

New York, Feb. 21 – Akbank TAS’ newly priced 6.8% notes were stable-to-better out of the chute on Wednesday after the Turkish lender priced $400 million of the 10-year paper at par and with pricing that was slightly tighter than initial talk in the high 6% area, according to a market source.

Also notable on Wednesday were the launches of Kenya’s $2 billion of eurobonds in two tranches and Belarus’ $600 million of 12-year notes in the early going.

The Kenya 10-year and 30-year notes launched to yield 7¼% and 8¼%, respectively, while the Belarus notes launched with a 6.2% yield.

There were also announcements regarding a roadshow for $300 million of five-year notes for Georgia Capital JSC, which is demerging from JSC Bank of Georgia, and a launch of a debut bond for Moldova’s Trans-Oil Group of Cos.

Trans-Oil Group, which is issuing a smaller than expected deal via Aragvi Finance, was eying a 10% area yield on its $225 million of five-year notes.

Also on Wednesday, two Singapore-based financial companies came to market. United Overseas Bank Ltd. priced £350 million of five-year floating-rate covered bonds at par to yield three-month Libor plus 24 bps, and Oversea-Chinese Banking Corp. Ltd. mandated banks to arrange a euro-denominated benchmark offering of five-year notes.

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