News
On 30 July, BNG Bank (AAA/Aaa/AAA) launched a minimum A$15 million (US$10.4 million) increase to its April 2029 Kangaroo bond. Indicative price guidance for the forthcoming transaction, which is expected to price on the day of launch, is 52 basis points area over semi-quarterly swap, equivalent to 59.25 basis points area over Australian Commonwealth government bond. RBC Capital Markets is leading.
On 30 July, Heritage Bank (Baa1/BBB+) launched a benchmark, three-year senior-unsecured domestic floating-rate note (FRN) deal, with indicative price guidance of 88 basis points area over three-month bank bills. Pricing is expected on the day of launch, according to lead managers National Australia Bank and Westpac Institutional Bank.
New South Wales Treasury Corporation (TCorp)’s pricing of a second benchmark deal in the space of a month means 2019 is already the issuer’s most active period for syndicated deals since 2013 as it seeks to make headway on a larger 2019/20 borrowing task.
On 29 July, National Australia Bank (NAB) (AA-/Aa3/AA-) mandated a new 15-year non-call 10-year (15NC10), US dollar denominated tier-two benchmark deal, with investor calls to be held on the day of the announcement and pricing expected on the same day in the New York evening.
On 29 July, Zip mandated National Australia Bank to arrange a series of investor meetings regarding the potential launch of an asset-backed securities (ABS) programme, Zip Master Trust.
On 29 July, Commerzbank (A-/A1/A-) mandated ANZ and National Australia Bank to arrange nondeal fixed-income investor meetings in Australia, from 21-23 August.
On 29 July, Heritage Bank (Baa1/BBB+) revealed plans for a new three-year, Australian dollar denominated, senior-unsecured benchmark deal. The transaction is expected to launch in the near future, with National Australia Bank and Westpac Institutional Bank as joint lead managers.
On 29 July, Mizuho Bank Sydney Branch (Mizuho Sydney) (A/A1) launched a new, five-year domestic deal to come in either or both fixed- and floating-rate formats. The forthcoming deal is being marketed at 80 basis points area over swap benchmarks and is expected to price on or before 30 July. ANZ, Commonwealth Bank of Australia, Mizuho Securities and Westpac Institutional Bank are joint lead managers.
The Australian market was a hive of activity in the final full week of July, with highlights being New South Wales Treasury Corporation's A$1.25 billion (US$867.8 million) March 2031 syndicated deal and a A$350 million 10-year transaction from AusNet Services. Meanwhile, Westpac New Zealand printed the largest-ever domestic financial institution senior deal in New Zealand.
