Morgan Stanley and Credit Suisse have launched Europe's first $1bn initial public offering of 2011, but they have done do amid criticism of the US bank’s role on the flotation of a Chinese company that the two firms brought to market in December.

Nord Gold, a unit of steelmaker Severstal, launched its long-awaited London flotation this morning. The Russian company is set to raise $1bn, with proceeds being used to repay group debt and to fund exploration, developments and potential acquisitions.