MINIBOND SCORECARD: MARKET TRENDS
Main indicators as of October 31st 2016
201 ISSUES - SHORT-TERM MINIBONDS STILL IN THE SPOTLIGHT
In the quarter just ended we report a decrease vs the May-July period in the number and volume of minibonds issued, mainly due to those below €50 M in face value: in fact 12 out of 13 new issues in the August-October period fall into this category and their volumes dropped to 37M from 97M of previous quarter
Also, the sector Food & Beverage registered the highest variation ( +0.6 pp of the share of total value issued vs. July), thanks to new issues of Gestioni Piccini S.r.l. and Agrumaria Reggina S.r.l.
The interest showed by foreign countries for this debt instrument, which in Italy has seen a fair amount of success among SME’s, is constantly on the rise. In this last month, the portal MinibondItaly.it has registered a lot of visitors from the United States and UK, coming right after the number of visits from Italy.
Precisely for this reason MinibondItaly together with Epic Sim have created the English version of the document. The Minibond Scorecard: Market Trends is designed with the purpose of bringing quality and reliable information to foreign agents that operate within the sector: it provides a description from an international angle on what is currently happening in the ExtramotPro Italian Market, with the objective of providing an updated and clear picture for international players.
Let us take a detailed look at what has changed compared to the last update:
- 201 issued minibonds for a total value of approximately €7.8 bn (+3% vs 31st July 2016)
- Decrease of minibonds below €50 M in face value
- Slight decrease of the average coupon rate, consistent with the previous quarter, confirming the market consolidation trend
- Food & Beverage registered the highest variation ( +0.6 pp of the share of total value issued vs July), thanks to new issues of Gestioni Piccini S.r.l. and Agrumaria Reggina S.r.l.
- Strong concentration of issues in Northern Italy is confirmed
The updated average profile of minibonds not exceeding €50 M is the following:
- Average face value: €8.6M
- Average coupon rate: 5.39%
- Average maturity: 5.87years
MINIBOND SCORECARD: MARKET TRENDS is published by MinibondItaly.it in collaboration with Epic SIM and provides quarterly updates on the evolution of the Minibond market in Italy; the English version is released one month after the Italian one, ensuring a constant stream of accurate data.
MinibondItaly.it is the first informational web portal and news aggregator overviewing the Italian Minibond market (developed and managed by Business Support, a strategy consulting and financial advisory firm).
Epic SIM manages the new fintech platform www.epic.it that directly connects private capital and SMEs.