Mongolian trade bank pulls bond deal

Trade and Development Bank of Mongolia has postponed its dollar bond deal, blaming a banking crisis in Portugal.
Out in the cold: Mongolian credit is too risky for investors
Out in the cold: Mongolian credit is too risky for investors

Trade and Development Bank of Mongolia TDBM pulled its five-year dollar bond on Friday, having only announced the deal a day earlier.

The bank blamed adverse market conditions, sparked by concerns over Portuguese lender Banco Espirito Santo’s failure to make coupon payments on its short-term debt on Thursday.

In a statement, TDBM said that the environment was not conducive for primary issuance due to heightened volatility in the secondary markets.

“A few bank bond deals also got pulled in Europe in addition to TDBM’s due to the Portuguese crisis,” said a source close to the deal. “Stock markets dipped and market sentiment was...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222