News
On 10 January, Treasury Corporation of Victoria (TCV) (AAA/Aaa) mandated Bank of America and National Australia Bank as joint lead managers for a potential November 2023, Australian dollar denominated, syndicated, benchmark bond.
On 10 January, BNP Paribas (A+/Aa3/AA-) launched a new 7.5-year, Australian dollar denominated, senior nonpreferred, EMTN, benchmark transaction, offered in either or both fixed and floating-rate format. Indicative price guidance for the forthcoming deal, which is expected to price on the day of launch, is 140 basis points area over swap benchmarks.
Australia’s major banks have hit the ground running in 2020 with three of the big four taking funding opportunities at home and abroad by 7 January and the fourth lining up a new trade. Despite developing domestic and international crises, the borrowers say markets have maintained momentum from 2019 and investors are prepared for a busy open to the year.
On 9 January, BNP Paribas (A+/Aa3/AA-) began taking indications of interest for a new 7.5-year, Australian dollar denominated, senior nonpreferred, EMTN deal, offered in either or both fixed and floating-rate format. Initial price guidance for the transaction is 140-145 basis points area over swap benchmarks. The deal is expected to be rated A-/Baa1/A+.
On 9 January, European Investment Bank (EIB) (AAA/Aaa/AAA) launched a minimum A$300 million (US$206.1 million) increase to its October 2025 Kangaroo bond. Indicative price guidance for the forthcoming transaction is 40 basis points area over semi-quarterly swap, equivalent to 44.5 basis points area over Australian Commonwealth government bond. Pricing is expected on the day after launch, according to Deutsche Bank, Nomura and RBC Capital Markets.
Kommunalbanken Norway (KBN) (AAA/Aaa) launched a minimum A$25 million (US$17.3 million) increase to its November 2029 Kangaroo bond on 7 January. Indicative price guidance for the forthcoming deal is 52 basis points area over semi-quarterly swap, equivalent to 56.25 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch, according to J.P. Morgan.
On 7 January, BNG Bank (AAA/Aaa/AAA) launched a minimum A$25 million (US$17.3 million) increase to its April 2029 Kangaroo bond. The forthcoming deal, which is expected to price on the day of launch, is being marketed at 52 basis points area over semi-quarterly swap, equivalent to 48.75 basis points area over Australian Commonwealth government bond. Mizuho Securities is leading.