News
Resimac says demand fundamentals remained sound for its return to prime residential mortgage-backed securities (RMBS) issuance via the Premier programme. The issuer highlights changing global demand patterns, however, and says it is prepared for more challenging funding conditions should they emerge.
The inaugural asset-backed securities (ABS) transaction from Zipmoney (Zip) is – according to the deal’s arranger – the world’s first-ever master trust securitisation of buy-now-pay-later (BNPL) receivables. The issuer says establishing the funding vehicle will provide it with flexibility and efficiency to support continued growth and that the debut deal was well received by investors hungry for diversified, high-yielding product.
While on a trip to the antipodes, PGIM’s chief investment strategist and head of global bonds, Robert Tipp, spoke to KangaNews about the realities of the low-rate environment and fixed-income investment strategy amid negative headlines and challenging market conditions.
Favourable domestic market conditions and strong investor support enabled ANZ Banking Group (ANZ) to print its second senior-unsecured deal in the Australian market for the year. The deal is the 10th ever senior-unsecured major-bank benchmark of A$3 billion (US$2 billion), four of which have printed in 2019 and eight since the start of last year.
An ongoing supportive market and a desire for a smooth tier-two maturity profile drove Westpac Banking Corporation (Westpac) to undertake its second tier-two deal since total capital requirements for Australia’s major banks were raised in July. Westpac’s domestic dollar foray continued the theme of strong oversubscription and price tightening for major-bank tier-two product.
World Bank achieved another significant milestone in the development of distributed-ledger technology (DLT) in debt-capital markets on 13 August, thanks to a first tap of its August 2020 Bond-i line. The increase also broadened the bond’s investor base and jurisdictional boundaries. The initial transaction was only made available to Australian domestic investors but the tap brought a Singapore-based investor into the fold.
Asian Development Bank (ADB) took advantage of demand in the early mid-curve to price its NZ$425 million (US$273.2 million) January 2023 Kauri tap on 16 August. The issuer says market conditions in New Zealand and elsewhere have become more challenging but flight-to-quality issuance opportunities are open for supranational, sovereign and agency (SSA) borrowers.
Western Australian Treasury Corporation (WATC) issued its largest ever floating-rate note (FRN) deal in a A$1.1 billion (US$745.9 million) 4.5-year transaction that priced on 14 August. WATC talks to KangaNews about the timing of the deal and the wider context of its funding programme.
ASB Bank says it was eager to access the domestic market to kickstart its new financial year funding task, amid robust demand conditions. Deal distribution in New Zealand dollars continues to be domestically focused but has been able to produce multiple record-volume deals for financial institution (FI) issuers.
Australian Capital Territory (ACT) priced its largest-ever bond deal on 13 August: a A$1 billion (US$679.4 million) transaction maturing in May 2025. Lead managers say the relative-value pick up of ACT to other triple-A semi-government borrowers and ongoing demand from bank balance sheets supported the book.
ING Bank Australia (ING Australia) has issued its second domestic covered-bond transaction. The borrower tells KangaNews funding diversification was the primary driver but it aims to be a regular issuer in the format.
QIC Shopping Centre Fund defied volatile market conditions to exceed volume and pricing expectations in its first-ever green bond, which priced on 7 August. The issuer says the deal was the culmination of a significant process towards delivering sustainability outcomes and its result highlights the benefits of green, social and sustainability (GSS) bond issuance.