Euribor

DGAP-News: FIVEN ASA: Successful placement of new bond

Thursday, June 10, 2021 - 5:04pm

Fiven ASA ("Fiven" or the "Company") announces today that the Company has successfully placed a sustainability-linked senior secured bond loan in an initial amount of EUR 70 million within a total framework of EUR 125 million.

Key Points: 
  • Fiven ASA ("Fiven" or the "Company") announces today that the Company has successfully placed a sustainability-linked senior secured bond loan in an initial amount of EUR 70 million within a total framework of EUR 125 million.
  • The bond has a tenor of three years and carries interest at an annual rate of 3 months EURIBOR plus 685 basis points.
  • Fiven intends to apply for listing of the bond on the Corporate Bond List of Nasdaq Stockholm.
  • The placement constitutes the first EUR-denominated sustainability-linked bond by a sponsor-backed issuer in the Nordic bond market and illustrates Fiven's strong commitment to reducing the environmental impact of its operations.

Turkiye Garanti Bankasi A.S.: Announcement regarding Syndicated Loan Agreement

Wednesday, May 26, 2021 - 9:00am

The issuer is solely responsible for the content of this announcement.

Key Points: 
  • The issuer is solely responsible for the content of this announcement.
  • On 25.05.2021 our Bank has signed a syndicated loan agreement with 367 days maturity in the amount of US $ 279.000.000 and 294.000.000 comprising of two separate tranches.
  • The loan which will be used for trade finance purposes has been executed with commitments received from 34 financial institutions from 18 countries.
  • The all-in cost for USD and EUR tranches have been realized as Libor + 2.50% and Euribor + 2.25% respectively.

Private sector working group on euro risk-free rates publishes recommendations on EURIBOR fallbacks

Thursday, May 13, 2021 - 12:03am

11 May 2021

Key Points: 
  • 11 May 2021

    The private sector working group on euro risk-free rates has today published its recommendations addressing events that would trigger fallbacks in EURIBOR-related contracts, as well as STR-based EURIBOR fallback rates (rates that could be used if a fallback is triggered).

  • The valuable feedback from the two market-wide consultations on the draft recommendations has been taken into account in the final recommendations.
  • As with similar fora in other currency areas, the working groups recommendations are not legally binding for market participants.
  • They do, however, provide guidance and represent the prevailing market consensus on EURIBOR fallback trigger events and STR-based fallback rates, which market participants may consider in their contracts.

ICE Announces Record Activity in Gilts and Sterling Rates Complex

Thursday, March 4, 2021 - 1:10pm

Intercontinental Exchange, Inc. (NYSE:ICE), a leading operator of global exchanges and clearing houses and provider of mortgage technology, data and listings services, announced record activity across its benchmark Gilts and Sterling rates complex as the market manages Sterling-related risk.

Key Points: 
  • Intercontinental Exchange, Inc. (NYSE:ICE), a leading operator of global exchanges and clearing houses and provider of mortgage technology, data and listings services, announced record activity across its benchmark Gilts and Sterling rates complex as the market manages Sterling-related risk.
  • Short Sterling futures and options, the benchmark for managing UK interest rate risk, reached record open interest of more than 20.1 million contracts on March 1, 2021.
  • As one of the leading venues for interest rate derivatives, ICE offers a comprehensive range of benchmark products alongside its Sterling rates complex including Euribor futures and options, SOFR futures and STR futures.
  • Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange.

Encore Capital Group Completes Upsized Offering of Senior Secured Floating Rate Notes

Monday, December 21, 2020 - 4:01pm

SAN DIEGO, Dec. 21, 2020 (GLOBE NEWSWIRE) -- Encore Capital Group, Inc. (NASDAQ: ECPG), an international specialty finance company, today announced that it has completed its offering of 415.0 million (upsized from 275.0 million) aggregate principal amount of senior secured floating rate notes due 2028 with a coupon of three-month EURIBOR (subject to a 0% floor) plus 4.250%.

Key Points: 
  • SAN DIEGO, Dec. 21, 2020 (GLOBE NEWSWIRE) -- Encore Capital Group, Inc. (NASDAQ: ECPG), an international specialty finance company, today announced that it has completed its offering of 415.0 million (upsized from 275.0 million) aggregate principal amount of senior secured floating rate notes due 2028 with a coupon of three-month EURIBOR (subject to a 0% floor) plus 4.250%.
  • Encore used the proceeds from the offering, together with cash on hand, to redeem in full the outstanding 400.0 million senior secured floating rate notes due 2024 that had a coupon of three-month EURIBOR (subject to a 0% floor) plus 6.375% and to pay certain transaction fees and expenses incurred in connection with the offering of the notes.
  • The completion of our upsized senior secured floating rate note offering today demonstrates yet again that our new global funding structure provides us with one of the best balance sheets in the global credit management services industry, said Jonathan Clark, Executive Vice President and Chief Financial Officer.
  • Encore Capital Group is an international specialty finance company that provides debt recovery solutions and other related services across a broad range of financial assets.

Isabel Schnabel: Welcome address

Tuesday, December 15, 2020 - 12:14am

SPEECHWelcome addressWelcome address by Isabel Schnabel, Member of the Executive Board of the ECB, at the third roundtable on euro risk-free rates Frankfurt am Main, 14 December 2020 Good afternoon and welcome to the third roundtable of the industry working group on euro risk-free rates.

Key Points: 


SPEECH

Welcome address

    Welcome address by Isabel Schnabel, Member of the Executive Board of the ECB, at the third roundtable on euro risk-free rates

      • Frankfurt am Main, 14 December 2020 Good afternoon and welcome to the third roundtable of the industry working group on euro risk-free rates.
      • Not least, it has forced us to transition to virtual modes of working.
      • I very much hope that the public health situation will soon allow us to meet again in person.
      • Todays roundtable will provide a platform to exchange views on the development of robust fallback provisions for EURIBOR, which remains a systemically relevant benchmark.

    The motivation for robust EURIBOR fallback provisions

      • As a result, EURIBOR is still used extensively in both new and legacy contracts for cash and derivatives products.
      • Given that EURIBOR remains operational, why do we even need to discuss fallback arrangements?
      • If the benchmark rate ceased to exist, the absence of a fallback rate would expose the counterparties to substantial risk.
      • Fallback provisions therefore act as seatbelts for contractual arrangements in financial markets.
      • In fact, there is already a legal requirement to use fallback provisions.
      • In addition to these legal requirements, there is also a clear financial stability justification to ensure there are workable fallback provisions that reduce contractual uncertainties in the event of EURIBOR ceasing to exist.

    Public consultations: the role of the €STR as a fallback rate

      • However, this basic premise begs a more difficult question: what are feasible alternative rates that can be used if a fallback scenario is triggered?
      • In an effort to address this question, the working group has recently launched two public consultations.
      • The public consultations build on a common theme, namely the use of the ECBs STR in the proposed fallback measures.
      • For the public consultation, the working group has used two alternative STR-based approaches to approximate a term rate that could serve as a fallback.
      • Second, the working group has used realised values of the STR and compounded them over the interest period, thus deriving a backward-looking term rate.
      • The STR is a suitable rate for use in EURIBOR fallback arrangements.

    Discontinuation of EONIA: the urgent need for a rate transition

      • As EONIA has been converted into a STR tracker rate, the benefits of switching to the STR may not be immediately obvious.
      • There are two reasons why market participants should urgently work on their preparedness for an orderly transition from EONIA to the STR.
      • First, the discontinuation of EONIA is imminent, with its last publication scheduled for 3 January 2022.
      • If the proposed fallback provisions were ever activated, the market would have to rely extensively on the STR.
      • The ECB will continue to facilitate the replacement of EONIA in euro area markets by maintaining a robust and representative STR.

    Conclusion

      • The STR is an ideal candidate for this transition.
      • It can support market participants in building robust fallback procedures for a potential discontinuation of EURIBOR.
      • Users should therefore swiftly replace EONIA and make wider use of the STR in cash and derivatives markets.
      • I would also like to thank the ECB team that has been supporting the working group by providing the secretariat.
      • I now wish all of you an insightful and productive roundtable.

    Steven Maijoor speaks at the third roundtable on euro risk-free rates

    Tuesday, December 15, 2020 - 12:12am

    The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, today delivereda speech at the third roundtable on euro risk-free rates.

    Key Points: 
    • The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, today delivereda speech at the third roundtable on euro risk-free rates.
    • The focus of the event wasthe fallbacks for EURIBOR, where working group on euro risk-free rates members will guide the audience through the recently launched public consultations on EURIBOR fallback trigger events and STR-based EURIBOR fallback rates.

    Isabel Schnabel: Welcome address

    Tuesday, December 15, 2020 - 12:07am

    SPEECHWelcome addressWelcome address by Isabel Schnabel, Member of the Executive Board of the ECB, at the third roundtable on euro risk-free rates Frankfurt am Main, 14 December 2020 Good afternoon and welcome to the third roundtable of the industry working group on euro risk-free rates.

    Key Points: 


    SPEECH

    Welcome address

      Welcome address by Isabel Schnabel, Member of the Executive Board of the ECB, at the third roundtable on euro risk-free rates

        • Frankfurt am Main, 14 December 2020 Good afternoon and welcome to the third roundtable of the industry working group on euro risk-free rates.
        • Not least, it has forced us to transition to virtual modes of working.
        • I very much hope that the public health situation will soon allow us to meet again in person.
        • Todays roundtable will provide a platform to exchange views on the development of robust fallback provisions for EURIBOR, which remains a systemically relevant benchmark.

      The motivation for robust EURIBOR fallback provisions

        • As a result, EURIBOR is still used extensively in both new and legacy contracts for cash and derivatives products.
        • Given that EURIBOR remains operational, why do we even need to discuss fallback arrangements?
        • If the benchmark rate ceased to exist, the absence of a fallback rate would expose the counterparties to substantial risk.
        • Fallback provisions therefore act as seatbelts for contractual arrangements in financial markets.
        • In fact, there is already a legal requirement to use fallback provisions.
        • In addition to these legal requirements, there is also a clear financial stability justification to ensure there are workable fallback provisions that reduce contractual uncertainties in the event of EURIBOR ceasing to exist.

      Public consultations: the role of the €STR as a fallback rate

        • However, this basic premise begs a more difficult question: what are feasible alternative rates that can be used if a fallback scenario is triggered?
        • In an effort to address this question, the working group has recently launched two public consultations.
        • The public consultations build on a common theme, namely the use of the ECBs STR in the proposed fallback measures.
        • For the public consultation, the working group has used two alternative STR-based approaches to approximate a term rate that could serve as a fallback.
        • Second, the working group has used realised values of the STR and compounded them over the interest period, thus deriving a backward-looking term rate.
        • The STR is a suitable rate for use in EURIBOR fallback arrangements.

      Discontinuation of EONIA: the urgent need for a rate transition

        • As EONIA has been converted into a STR tracker rate, the benefits of switching to the STR may not be immediately obvious.
        • There are two reasons why market participants should urgently work on their preparedness for an orderly transition from EONIA to the STR.
        • First, the discontinuation of EONIA is imminent, with its last publication scheduled for 3 January 2022.
        • If the proposed fallback provisions were ever activated, the market would have to rely extensively on the STR.
        • The ECB will continue to facilitate the replacement of EONIA in euro area markets by maintaining a robust and representative STR.

      Conclusion

        • The STR is an ideal candidate for this transition.
        • It can support market participants in building robust fallback procedures for a potential discontinuation of EURIBOR.
        • Users should therefore swiftly replace EONIA and make wider use of the STR in cash and derivatives markets.
        • I would also like to thank the ECB team that has been supporting the working group by providing the secretariat.
        • I now wish all of you an insightful and productive roundtable.

      Steven Maijoor speaks at the third roundtable on euro risk-free rates

      Tuesday, December 15, 2020 - 12:06am

      The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, today delivereda speech at the third roundtable on euro risk-free rates.

      Key Points: 
      • The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, today delivereda speech at the third roundtable on euro risk-free rates.
      • The focus of the event wasthe fallbacks for EURIBOR, where working group on euro risk-free rates members will guide the audience through the recently launched public consultations on EURIBOR fallback trigger events and STR-based EURIBOR fallback rates.

      Working group on euro risk-free rates launches two public consultations on fallbacks to EURIBOR

      Tuesday, November 24, 2020 - 12:05am

      PRESS RELEASE

      Key Points: 
      • PRESS RELEASE

        Working group on euro risk-free rates launches two public consultations on fallbacks to EURIBOR

        23 November 2020

        The working group on euro risk-free rates has today released two public consultations on the topic of fallback rates to EURIBOR.

      • Fallback rates are rates that can be relied upon in case of an unavailability of the main rate.
      • In the other consultation, stakeholders are invited to give their views on potential events that could trigger such fallback measures.
      • As regards STR-based fallback rates, the working group considered two types of rates:

        1) Forward-looking rates which are based on the derivatives markets referencing the STR and which reflect market expectations of the evolution of the STR.