News
On 23 November, Bluestone Group (Bluestone) began taking indications of interest for the Class A1b and Class A2 notes of its residential mortgage-backed securities transaction, Sapphire XX 2018-3. All other tranches have been preplaced, as has 85 per cent of the Class A2 notes.
On 23 November, Royal Bank of Canada Sydney Branch (RBC Sydney) (AA-/Aa2) launched a new, benchmark one-year domestic deal with indicative price guidance of 50 basis points area over three-month bank bills. Pricing is expected on the day of launch, according to lead manager RBC Capital Markets.
Accessing private investors and adding scale to tangible impact investing motivated World Bank to bring its new sustainable growth bond. The issuer and its lead say the deal presented a unique opportunity to engage new investors on the UN sustainable development goals (SDGs) and World Bank’s bond issuance.
University of Sydney tapped into growing demand for long-dated, high-rated Australian credit with its recent 25-year deal. While it is not the first credit issuer to price ultra-long-tenor in Australian dollars, deal sources say the university’s deal achieved notably wider distribution than its predecessors and that the long-dated bid could evolve still further.
On 22 November, Civmec Holdings (NR), the wholly owned subsidiary of heavy engineering and construction provider, Civmec, launched a A$60 million (US$43.6 million) four-year domestic deal. The forthcoming transaction has an indicative coupon of 7-7.25 per cent area. National Australia Bank is sole lead manager.
Credit Union Australia (CUA) (BBB/Baa1) launched a minimum A$100 million (US$72.6 million) one-year floating-rate note (FRN) senior domestic deal on 22 November. The forthcoming deal is expected to price on the same day as launch with price guidance of 75 basis points area over three-month bank bills. National Australia Bank is leading.
On 21 November, Downer Group Finance (Downer) announced a consent solicitation process for its A$250 million (US$180.8 million) senior-unsecured notes due March 2022. The issuer is proposing an amendment to the terms and conditions of the notes, such that they align with Downer’s pari passu ranking senior-unsecured debt facilities.