News
The findings of Janus Henderson Investors’ inaugural sovereign debt index report point to an evolving set of risks faced by central banks as aggregate sovereign debt continues to rise. The fund manager says central-bank policy is evolving to focus on financial stability instead of inflation targeting.
Victoria Power Networks (VPN) says it used a multitranche structure for its latest domestic deal to maximise capacity as investors’ tenor preference has shortened in recent weeks. Overall demand appears to be holding up, as VPN priced its A$700 million (US$541.4 million) deal on the same day as NSW Electricity Networks Finance executed a A$300 million eight-year transaction.
On 19 April, Network Finance Company, the financing entity of Endeavour Energy Group (Baa1), mandated ANZ, Bank of China and Commonwealth Bank of Australia to arrange a series of investor meetings beginning 21 April regarding a potential long seven-year, Australian dollar denominated, senior-secured transaction in either or both fixed- and floating-rate note formats.
On 19 April, Australian Gas Networks (AGN) (A-/A3) mandated National Australia Bank and SMBC Nikko to arrange a series of investor calls beginning 20 April regarding a potential Australian dollar denominated, senior-secured, benchmark transaction, offered in seven- and 10-year tenors.
Treasury Corporation of Victoria (TCV) (AA/Aa1) launched a new September 2033, Australian dollar denominated, syndicated, benchmark transaction on 19 April. Indicative price guidance for the deal is 48-51 basis points area over EFP, equivalent to 38.1-41.1 basis points area over Australian Commonwealth government bond.
On 19 April, Transurban Queensland Finance (BBB by S&P), a wholly owned subsidiary of the Transurban Group, revealed plans for a potential long 10-year, Australian dollar denominated, senior-secured, benchmark transaction. ANZ, Commonwealth Bank of Australia and SMBC Nikko have been mandated to arrange a series of investor calls beginning 21 April.
On 19 April, Firstmac mandated ANZ, National Australia Bank, Standard Chartered and SMBC Nikko to engage investors regarding a residential mortgage-backed securities (RMBS) transaction expected to launch in the week beginning 26 April.
The Australian dollar nonresident residential mortgage-backed securities issuer pool widened with Brighten Home Loans’ debut deal. The issuer says capital-market funding has been a goal since the business’s establishment and that interest in the asset class is growing with increased supply.
On 19 April, Kāinga Ora – Homes and Communities (AAA/Aaa), via its subsidiary Housing New Zealand, launched a syndicated tap of its October 2028 wellbeing bond. The minimum NZ$300 million (US$213.9 million) transaction has indicative price guidance of 29-32 basis points area over mid swap and is expected to price on the day after launch. ANZ, BNZ, Commonwealth Bank and Westpac Banking Corporation New Zealand Branch are joint lead managers.
On 16 April, Columbus Capital mandated Credit Suisse, Natixis and Standard Chartered to engage investors regarding a potential nonresident residential mortgage-backed securities (RMBS) deal from its Vermilion programme.
Australian market deal flow surged in the first full week of April following Easter holidays, with multiple financial-institution and corporate transactions, and the Australian Office of Financial Management executing its new November 2032 syndication.