While there are positive signs of a pick-up in convertibles issuance in the US, the signs for Europe are less optimistic. A promising start to the year was followed by a dearth of deals in the second quarter. But bankers are now hoping that with credit markets returning to health, the convertibles market will reopen after the traditional August break in activity.

Six $500m-plus (€380m) deals completed in Europe, the Middle East and Africa in the first quarter, including software group Autonomy's $776m issue. Since TUI Travel's $794m deal in April, however, just one deal over $100m by a company based in Europe, the Middle East and Africa has priced. Convertible volumes in the region stand at the lowest year to date figure since 1996, at $10.8bn.