News
ElectraNet’s first Australian dollar deal was a departure from its usual sources of funding—the US private placement market and bank debt. The issuer says diversification drove the decision to enter the local market and that it was rewarded with a positive buy-side response.
In July, Commonwealth Bank of Australia and KangaNews conducted the second iteration of their annual environmental, social and governance survey of the Australian domestic fixed-income investor base. The survey was followed by an investor roundtable to discuss the findings and gain insight into the strategies behind the responses.
New South Wales Treasury Corporation’s recent A$4 billion syndicated deal was the first ever dual-tranche floating-rate note transaction from a semi-government issuer. The issuer says it offered this structure to gain interest from its targeted Australian deposit-taking institution investors.
Increased appetite for green bonds and renewed engagement from a diverse range of domestic and global investors brought Queensland Treasury Corporation back to the labelled market after a year-long absence, pricing a A$3 billion (US$2.2 billion) deal on September 9.
Rentenbank joins a growing list of supranational, sovereign and agency borrowers that have printed debut Kangaroo use-of-proceeds green, social and sustainability bonds in 2021. The issuer tells KangaNews it wants the Australian dollar market to be one of its key green-funding sources.
New Zealand Debt Management extended its maturity curve to 30 years on 14 September, placing a NZ$3 billion (US$2.1 billion) nominal bond deal primarily with offshore accounts.
SocietyOne’s debut public asset-backed securities prioritised transaction quality and execution certainty over volume, according to the borrower. The nonbank lender joins a growing cohort of personal-loan originators in the term securitisation market, and says it plans to increase volume in subsequent deals.
Commonwealth Bank of Australia ventured to the US dollar market for its first term benchmark transaction since January 2020. The issuer says managing its maturity profile was a key reason for returning to term funding, even as deposit growth remains robust.
National Australia Bank says its decision to tap the sterling market for tier-two paper – just the second transaction from an Australian bank in this market since the finalisation of Australian bank capital rules – supports the opening of an important pool of additional-capital funds in the runup to the new capital rules’ 2024 deadline.
People’s Choice Credit Union printed a debut deal from its new debt-issuance programme on 7 September, in tier-two format. The issuer also now has the option to issue public senior-unsecured debt alongside its established securitisation programme.
Canadian Imperial Bank of Commerce Sydney Branch (CIBC) printed a five-year covered bond at all-time low pricing on 7 September, netting its largest-ever Australian dollar volume. The issuer says the deal benefited from participation of new investors as well as larger bids from its existing base.
Deal sources on Pacific National’s market return say the yield on offer and work done to explain the company’s environmental transition plan to investors supported strong interest in the 10-year deal. The transaction is one of many in the pipeline, leads add, as conditions are ripe for new corporate issuance.