Equity capital markets
Activity in the equity capital markets reached $346 million this week through two issues, down significantly on the $3.6 billion raised during the same period last week, marking the lowest volume since the week of January 23 ($310 million from one deal).
The biggest deal of the week was a $150 million follow on for SM Investments Corp, a Philippines-based holding company with operations ranging from property developments and hotels to retail and banking. Arranged by Macquarie, the deal was also the biggest ECM transaction from Asia’s retail sector so far this year.
Baiyang Aquatic Group completed an $83 million IPO through Guosen Securities in the second-biggest deal of the week. The deal brings Chinese ECM volume to $50.1 billion so far this year, down 24% on the $65.6 billion raised during the same period in 2011.
Debt capital markets
Two Asian borrowers have tapped the Asian G3 debt capital markets for $486 million so far this week, down from the $2.4 billion raised during the comparable 2011 period and marking the quietest level of issuance in seven weeks (week of July 2 with $439 million).
Most of the issuance came from a spurt of borrowing by India’s banks. The biggest deal of the week was a $250 million trade for Axis Bank through bookrunners Barclays, Citi, HSBC, J.P. Morgan, Bank of America Merrill Lynch and Standard Chartered.
The top three banks in the league table remain unchanged with HSBC taking $12.6 billion, followed by J.P. Morgan and Citi.