News
On 14 November, University of Sydney (Aa1) mandated ANZ and National Australia Bank for a potential Australian dollar denominated 25-year domestic deal.
On 14 November, EUROFIMA (AA+/Aa2) mandated Daiwa Capital Markets and Deutsche Bank for a new, minimum A$50 million (US$36.1 million) 10.5-year Kangaroo bond transaction. The deal is expected to launch and price on the day of the announcement.
Chorus (BBB/Baa2) launched a NZ$300 million (US$202.6 million), with the ability to accept oversubscriptions, 10-year domestic deal on 14 November. The forthcoming deal, which is being offered to institutional and New Zealand retail investors under same-class exemption rules, has an indicative margin of 1.80-1.90 per cent and a minimum interest rate of 4.35 per cent. The margin and interest rate will be set on 23 November following a bookbuild.
The Australian Prudential Regulation Authority (APRA)’s proposals regarding total loss-absorbing capital (TLAC) for Australian banks were a key factor driving robust demand for Westpac Banking Corporation (Westpac)’s record-breaking senior deal, the issuer says. The announcement may ultimately also support spread tightening for major-bank senior debt going forward.
On 13 November, ME Bank (BBB/Baa1) mandated National Australia Bank, UBS and Westpac Institutional Bank to arrange fixed-income investor meetings regarding a potential Australian dollar denominated, perpetual non-call five-year additional tier-one (AT1) capital transaction. The meetings will be held in Sydney and Melbourne, on 19 and 20 November respectively.
On 13 November, Toyota Finance Australia (Toyota Australia) (AA-/Aa3) launched a new, benchmark Australian dollar denominated transaction. The forthcoming deal will be comprised of three-year tranches in either or both fixed- and floating-rate format with indicative price guidance of 78 basis points area over swap benchmarks. There will also be a five-year fixed-rate tranche, being marketed at 100 basis points area over semi-quarterly swap.
On 12 November, Think Tank Group (Think Tank) launched its new SME commercial mortgage-backed securities (CMBS) transaction, Think Tank Series 2018-1. The forthcoming deal has a capped volume of A$315 million (US$227.2 million) and is expected to price on or before 16 November.
On 12 November, South Australian Government Financing Authority (SAFA) (AA+/Aa1) revised the price guidance for its May 2028 select line syndicated tap to 48-49 basis points over the 10-year futures contract, having launched with a guidance range of 48-50 basis points earlier in the day. The issuer also reveals that bids for the deal – which is capped at A$1 billion (US$721.5 million) – are currently in excess of A$1.48 billion.
The scale of New South Wales (NSW)’s infrastructure task and its well-defined links with sustainable outcomes – in both the environmental and social arenas – enabled NSW Treasury Corporation (TCorp) to debut in the green-bond market with a blockbuster deal. TCorp issued A$1.8 billion (US$1.3 billion) of 10-year green bonds on 9 November.
On 12 November, Resimac launched its residential mortgage-backed securities (RMBS) transaction, Resimac Premier Series 2018-2. The deal's minimum total volume will be A$750 million (US$542.4 million) and pricing is expected on or before 16 November.