News
The Australian Securitisation Forum (ASF) and Perpetual Corporate Trust (Perpetual)’s Australian Securitisation Issuer Report 2019 highlights the continued importance of finding new investors to ensure the ongoing viability of securitisation issuance through the cycle. Consistent issuance is found to be the most effective, but in lieu of this issuers say innovation in assets and structure can help attract and retain investors.
On 15 May, Export-Import Bank of Korea (Kexim) (AA/Aa2/AA-) launched a new, five-year, benchmark Kangaroo deal, in either or both fixed- and floating-rate formats. Indicative price guidance for the forthcoming transaction is 92 basis points area over swap benchmarks.
On 15 May, Members Banking Group (BBB+/Baa1), operating as RACQ Bank, launched a new, three-year, indicative A$50 million (US$34.6 million) floating-rate note (FRN) deal. The forthcoming transaction is being marketed in the area of 105-110 basis points over three-month bank bills. The deal is expected to price as early as the day of launch, according to joint lead managers ANZ and National Australia Bank.
Australian Capital Territory (ACT) (AAA by S&P) launched a new, 10-year, benchmark domestic deal by syndication, on 15 May. The forthcoming transaction is being marketed in the range of 63-67 basis points area over the 10-year futures contract, equivalent to 64.25-68.25 basis points area over Australian Commonwealth government bond.
On 15 May, Oversea-Chinese Banking Corporation Sydney Branch (OCBC Sydney) (AA-/Aa1/AA-) launched a new, three-year, senior-unsecured domestic benchmark floating-rate note (FRN) deal. The forthcoming transaction has indicative price guidance of 64 basis points area over three-month bank bills and is expected to price on the day of launch.
World Bank (AAA/Aaa) launched a minimum A$300 million (US$208.6 million) increase to its February 2024 Kangaroo bond, on 14 May. The forthcoming transaction has indicative price guidance of 34 basis points area over semi-quarterly swap and 46.75 basis points area over Australian Commonwealth government bond.
On 14 May, Mortgage House launched its debut residential mortgage-backed securities (RMBS) deal, Mortgage House RMBS Series 2019-1. The forthcoming transaction has capped total volume of A$300 million (US$208.6 million) and is expected to price on or before 17 May. Westpac Institutional Bank is arranger for the transaction as well as joint lead manager alongside National Australia Bank.