News
The Green and Social Bond Principles (GBP SBP) is broadening further the scope of its focus on sustainability in fixed-income markets, with an update to its social bond principles (SBPs) and the launch of sustainability-linked bond principles (SLBPs). The new SLBPs are designed to provide the impetus for more entities to consider sustainable financing options, while the update to the SBPs is particularly relevant in the context of addressing the COVID-19 pandemic and the coming economic and social recovery.
On 9 June, BNG Bank (AAA/Aaa/AAA) launched a minimum A$20 million (US$14 million) increase to its July 2028 Kangaroo line. The forthcoming deal is being marketed at 63 basis points area over semi-quarterly swap, equivalent to 48.75 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch, according to lead manager Mizuho Securities.
On 9 June, Pepper Group launched its residential mortgage-backed securities (RMBS) deal, PRS 26. The capped A$700 million (US$490 million) deal is expected to price on the day after launch. Commonwealth Bank of Australia is arranger, and joint lead manager alongside Macquarie Bank, National Australia Bank, Standard Chartered and Westpac Institutional Bank.
On 9 June, NWB Bank (AAA/Aaa) launched a minimum A$15 million (US$10.5 million) increase to its December 2030 Kangaroo line. Indicative price guidance for the forthcoming transaction is 64 basis points area over semi-quarterly swap, equivalent to 54 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch, according to lead manager TD Securities.
The following interview is with a funding executive from an issuer in the sovereign, supranational and agency sector. It was conducted on 28 May 2020.
Deal activity from financial institutions in the Australian dollar market continued in the first week of June with transactions from Sumitomo Mitsui Banking Corporation Sydney Branch and Canadian Imperial Bank of Commerce Toronto Branch. Meanwhile, Kommunalbanken Norway maintained Kauri flow with a new five-year line.
The following interview is with a European-based issuer from the sovereign, supranational and agency sector. It was conducted on 1 June 2020.