News
The New Zealand Debt Management Office (NZDMO) has appointed Deutsche Bank, HSBC and Westpac New Zealand as the lead managers for a new September 2030 inflation-linked bond it plans to issue before the end of November this year. The NZDMO disclosed the makeup of the syndicate on October 2, also revealing it expects to issue NZ$1-2 billion (US$825.8 million – 1.65 billion) in the new bond's debut.
At its October meeting, the Reserve Bank of Australia (RBA) elected to keep the cash rate at 2.5 per cent – a move predicted by all 33 economists in a Bloomberg survey ahead of the announcement. HSBC data says markets were also convinced of a hold decision in advance, with this being 95 per cent priced in.
Ongoing attractive market conditions drew Westpac Banking Corporation (Westpac) back to the residential mortgage-backed securities (RMBS) market for the second time this year on September 27. The bank's A$2.25 billion (US$2.10 billion) deal continued a run of substantial deal prints and distribution weighting towards bank balance sheet participation.
On October 1, Investec Bank Australia (Investec Australia) announced an offer to buy back the outstanding balance of its December 2014 maturity government-guaranteed bond line. The line in question has A$116 million (US$108.1 million) remaining on issue, having already been reduced from the A$450 million originally priced in November 2009.
A new asset-backed securities (ABS) transaction from Macquarie leasing, its first all-AUD issue of the year, priced on September 27. The transaction matched its launch volume of A$500 million (US$464.8 million) across three tranches.
The last full week of September rounded off as the first week of the month began, with consistent dealflow. Aside from a raft of new and increased SSA Kangaroo transactions, the Australian Office of Financial Management placed its fourth syndicated linker while across the Tasman Sea, Christchurch International Airport brought the first corporate deal in retail-format to the New Zealand market since May.
The Australian Office of Financial Management (AOFM) says it saw strong support from offshore investors for its syndicated inflation-linked bond issue priced September 26. The development of an offshore primary bid for AOFM linkers has steadily increased from previous transactions.
On September 27, Christchurch International Airport (Christchurch Airport) (BBB+) priced a new retail-format transaction into the domestic market.
The Australian Office of Financial Management (AOFM) (AAA/Aaa/AAA) priced a A$2.1 billion new inflation-linked bond on September 26.