News
African Development Bank (AfDB) made its first foray into the Kauri market in more than four years on 21 February, with a rapidly launched and priced 10-year socially responsible investment (SRI)-linked deal. The issuer and lead say the deal was made possible by reverse enquiry from Asia, and insist the theme and maturity present a positive development for the market.
On 22 February, Transpower New Zealand (Transpower) revealed plans for a potential five-year senior-unsecured transaction to institutional and New Zealand retail investors. Full details of the offer are expected to be released in early March, according to lead manager ANZ.
World Bank’s latest Kangaroo deal marks its return to large mid-curve volume issuance, having been absent since September 2017. The leads and issuer say a softening global rates environment and increasingly positive market tone were key in achieving very robust volume outcome.
National Australia Bank (NAB)’s latest Australian dollar senior deal faced some challenges in execution, deal sources say, but still managed to draw significant volume and tightened pricing relative to guidance. The transaction is evidence of a growing trend of higher volume but lower issuance frequency by Australia’s major banks.
On 21 February, African Development Bank (AfDB) launched a minimum NZ$100 million (US$68.5 million) 10-year socially responsible investment (SRI) Kauri bond. The forthcoming deal has indicative price guidance of 43.3 basis points area over mid swap. Pricing is expected on the day of launch, according to lead manager Daiwa Capital Markets.
BNG Bank (AAA/Aaa) launched a minimum A$15 million (US$10.7 million) increase to its July 2029 ‘renewable-energy’ Kangaroo bond on 21 February, via Daiwa Capital Markets. The forthcoming deal is being marketed at 54 basis points area over semi-quarterly swap and is expected to price on the day of launch.
On 21 February, Incitec Pivot (BBB/Baa2) mandated ANZ and Commonwealth Bank of Australia to arrange debt investor meetings regarding a potential Australian dollar denominated transaction. The meetings will take place in Australia and Asia, commencing 28 February.