News
Australasian debt capital markets were again awash with primary transactions in the first week of September. In Australia highlights included Qantas Airways and Commonwealth Bank of Australia, while New Zealand saw two green, social and sustainability bond deals and the return of public securitisation.
New Zealand’s ultra-low rates environment enabled Kāinga Ora – Homes and Communities (Kāinga Ora) to print a nominal bond transaction beyond 10-year tenor for the first time. The borrower says offshore participation in its deal was the highest it has experienced yet.
Commonwealth Bank of Australia (CBA) joined Australia’s recent tier-two issuance line-up on 1 September, becoming the sixth Australian-domiciled issuer to bring a regulatory-capital transaction in just more than two weeks – five of them in the domestic market. CBA says it took its time after releasing annual results to launch the best possible deal.
On 4 September, South Australian Government Financing Authority (SAFA) (AA+/Aa1) mandated ANZ, Commonwealth Bank of Australia and UBS as lead managers for a new one-year, Australian overnight index average (AONIA)-linked, floating-rate note (FRN) transaction. Launch is expected in the week beginning 7 September.
On 3 September, Commonwealth Bank of Australia (CommBank) began taking indications of interest for the refinancing of the Class A1 notes from its Medallion 2015-2 residential mortgage-backed securities (RMBS) deal. The transaction is expected to launch in the week beginning 7 September.
On 3 September, NSW Electricity Networks Finance (Baa2), the financing entity of TransGrid, mandated Commonwealth Bank of Australia and National Australia Bank to arrange a series of investor calls in the week beginning 7 September regarding a potential Australian dollar denominated benchmark transaction, in either or both five- and 10-year tenors.