If we needed proof that the LevFin market in Europe is running full steam ahead for the summer, then the biggest LBO in years is about as clear a signal as you could ask for. Zegona’s €5bn acquisition of Vodafone Spain landed in the syndicated markets with €3.4bn of debt split across dual currencies TLBs and bonds, a week before the French legislative election results could spark new fears across fixed income assets in the region.

“If elections will surprise the market, we could have a week where investors reassess the risk on bonds, making it harder for companies, especially French, to come to market”, a senior banker said.