News
On 26 August, Bluestone Group began taking indications of interest for its residential mortgage-backed securities (RMBS) deal, Sapphire XXIV 2020-2. Total capped volume for the transaction is A$350 million (US$251.7 million) and is expected to launch in the week beginning 31 August. Macquarie Bank and National Australia Bank are arrangers and joint lead managers alongside Commonwealth Bank of Australia.
Aurizon Network (BBB+/Baa1) launched a 10-year, Australian dollar denominated benchmark transaction on 26 August. Indicative price guidance for the forthcoming deal is 215-220 basis points area over semi-quarterly swap, and is expected to price on the day of launch. Mizuho Securities, National Australia Bank and Westpac Institutional Bank are leading.
On 26 August, Korea Expressway Company (AA/Aa2) launched a debut, dual-tranche, three-year Kangaroo deal with indicative price guidance of 78-80 basis points over swap benchmarks. Pricing is expected on the day of launch. HSBC, Mizuho Securities and Standard Chartered are joint lead managers.
On 26 August, International Finance Corporation (IFC) (AAA/Aaa) launched a new NZ$200 million (US$131 million) minimum, five-year Kauri transaction. The forthcoming deal is being marketed at 29 basis points area over mid-swap, equivalent to 32.4 basis points area over New Zealand government bond. Pricing is expected on the day after launch, according to lead managers BNZ and TD Securities.
Overwhelming investor demand for corporate paper in a busy week of issuance enabled Coles Group to execute a short transaction process off the back of its annual results and to achieve significant price tightening, deal sources say.
