News
On 7 March, Incitec Pivot (BBB/Baa2) launched a new, seven-year, Australian dollar denominated benchmark domestic transaction. The forthcoming deal has indicative price guidance of 245-250 basis points area over semi-quarterly swap. Pricing is expected on 8 March, according to joint lead managers ANZ and Commonwealth Bank of Australia.
On 7 March, Inter-American Development Bank (IADB) launched a minimum A$100 million (US$70.3 million) increase to its August 2024 Kangaroo bond, with indicative price guidance of 38 basis points area over semi-quarterly swap. Pricing is expected on the day of launch, according to lead manager Commonwealth Bank of Australia.
On 7 March, Insurance Australia Group (IAG) (A by S&P) revealed plans to hold debt investor meetings in Australia and New Zealand regarding a potential Australian dollar denominated 26.25-year non-call 6.25-7.25-year tier-two subordinated transaction. The notes are expected to be rated BBB. National Australia Bank and Westpac Institutional Bank have been mandated to arrange the meetings.
On 6 March, Australian Finance Group (AFG) revealed plans to engage investors regarding a potential Australian dollar denominated residential mortgage-backed securities (RMBS) transaction. Meetings will be arranged by ANZ, National Australia Bank and United Overseas Bank, commencing in Asia in the week beginning 11 March and in Australia in the week beginning 25 March.
On 6 March, Argosy Property (Argosy) revealed it has allocated NZ$90 million (US$61.1 million) under the general offer in its seven-year green bond. Up to NZ$10 million remains to be allocated under the priority offer, which is expected to close on 20 March. The margin has been set at 175 basis points over mid swap, the low end of the indicative range.
On 6 March, Kommunalbanken Norway (KBN) (AAA/Aaa) launched a minimum A$200 million (US$141.2 million) tap of its April 2023 Kangaroo bond. The forthcoming deal has indicative price guidance of 43 basis points area over semi-quarterly swap. Pricing is expected on the day after launch, according to joint lead managers Deutsche Bank, J.P. Morgan and TD Securities.
Analysts tell KangaNews the trigger of a stepdown provision in Suncorp Group (Suncorp)’s Apollo 2010-1 residential mortgage-backed securities (RMBS) trust is not a sign of systemic problems with the asset class, despite rising arrears in the loan pool. In fact, they say the function is working as it should – to protect senior noteholders.
On 5 March, Commerzbank (A-/A1/A-) revealed plans for a new, five-year Australian dollar denominated senior preferred EMTN transaction. ANZ, Commerzbank, J.P. Morgan and National Australia Bank have been mandated as lead managers for the transaction, expected to launch in the near future.