News
On 24 November, Bendigo and Adelaide Bank (BEN) (BBB+/A3/A-) revealed plans for a new Australian dollar denominated, five-year, senior-unsecured, benchmark transaction, offered in either or both fixed and floating-rate note formats. ANZ, Commonwealth Bank of Australia, National Australia Bank and Westpac Institutional Bank are leading.
On 24 November, University of Wollongong (UOW) (AA by S&P) mandated National Australia Bank to arrange an investor call on 26 November regarding a potential Australian dollar denominated, 20-year transaction.
Chorus took advantage of supportive conditions to print the year’s largest New Zealand dollar corporate deal ahead of a May 2021 maturity. The issuer says it was very confident it would be supported by retail and institutional investors, including at 10-year tenor.
On 23 November, Kommunalbanken Norway (KBN) (AAA/Aaa) launched a new A$250 million (US$183 million) minimum, 5.5-year, Kangaroo transaction. The forthcoming deal is being marketed at 25 basis points area over semi-quarterly swap, equivalent to 27.7 basis points area over Australian Commonwealth government bond.
On 23 November, Ampol (Baa1), formerly Caltex Australia, revealed plans for a potential Australian dollar denominated, 60-year non-call 5.25-year (60NC5.25), subordinated, wholesale, benchmark transaction, offered in either or both fixed- and floating-rate note formats. The notes are expected to be rated Baa3.
On 20 November, National Australia Bank (NAB) completed the bookbuild for its additional tier-one (AT1) capital deal, NAB Capital Notes 5. The margin has been set at 350 basis points over three-month bank bills, the low end of the indicative range, and the volume upsized to A$2 billion (US$1.5 billion) from A$750 million, with the ability to raise more or less. The offer for the perpetual non-call seven-year notes will open on 24 November and is expected to close on 11 December.
The third week of November in Australian debt markets was highlighted by deals from AGI Finance, the first under Australian Gas Infrastructure Group's new financing entity, and Australian Office of Financial Management, with its syndicated May 2041 tap. Meanwhile, Chorus printed the year's largest corporate deal in New Zealand.
Kāinga Ora – Homes and Communities revealed updated issuance plans and the launch of a tender programme on 20 November. The issuer expects to borrow NZ$1 billion (US$691.7 million) in the first six months of calendar 2021. It also expects to raise NZ$100 million by tender in December 2020 to bring its total calendar year 2020 funding to NZ$1.9 billion.
On 20 November, Chorus revised the margins for its NZ$200-400 million (US$138.3-276.7 million) dual-tranche transaction. The 2027 tranche has been revised to 140-145 basis points over mid swap, from 140-150, and the 2030 tranche has been revised to 170-175 basis points over mid swap, from 170-180. The bookbuild for the deal is expected to be completed on 20 November.
On 12 November, just a week after perhaps the most contentious and controversial election in US history, KangaNews convened a panel of US-based market participants to discuss the fallout as part of the KangaNews Debt Capital Markets Summit 2020 webinar series. The conversation covered the impact of a divided government, monetary and fiscal policy, and the US’s place on the world stage.