Hottest Credit Deals in Europe: Anything Tied to Defense (1)

As NATO leaders huddled in The Hague in late June to iron out a plan to radically boost military spending, bankers in London were busy adding up the investor orders for a bond being offered by a little-known Czech maker of armored vehicles and ammunition.

The final tally: More than $10 billion for a sale that wasn’t even supposed to total $1 billion. Thrilled, they quickly doubled the size to more than $2 billion and slashed the interest rates they were offering. Just a few days earlier, the description “explosives maker” next to one Spanish company lining up to sell ...