News
On 30 August, KfW Bankengruppe (KfW) (AAA/Aaa) launched a minimum NZ$200 million (US$134.3 million) increase to its May 2020 Kauri bond line. The forthcoming deal is being marketed at 20 basis points area over mid swap and is expected to price on the day after launch. BNZ and TD Securities are joint lead managers.
On 30 August, Credit Union Australia (CUA) (BBB/Baa1) launched an indicative A$200 million (US$146.2 million) three-year domestic floating-rate note (FRN) transaction. The forthcoming deal has indicative price guidance of 130 basis points area over three-month bank bills. Pricing is expected on the day of launch, according to lead managers ANZ, Commonwealth Bank of Australia and National Australia Bank.
World Bank priced an historic bond using blockchain technology in Kangaroo format, on 23 August. Bond-I [blockchain operated new debt instrument] is the world’s first blockchain bond. The technology is still nascent, but deal participants are confident in the security of the platform and adamant of its potential to bring increased efficiency and transparency to all parts of the transaction process.
Bank of Montreal (BMO) (A+/Aa2/AA-) launched a new, benchmark multi-tranche Kangaroo deal on 30 August. The three- and five-year tranches are being marketed at 80 basis points area and 102 basis points area over swap benchmarks respectively. Pricing is expected on or before 31 August, according to lead managers BMO Capital Markets, Commonwealth Bank of Australia, National Australia Bank and UBS.
On 29 August, Bank of Nova Scotia Australia Branch (BNS Australia) (A+/Aa2/AA-) launched a new, three- and five-year senior-unsecured Australian dollar deal. The three-year tranche will come in floating-rate format and has indicative price guidance of 78 basis points area over three-month bank bills. The five-year tranche will come in either or both fixed and floating-rate formats and is being marketed at 100 basis points area over swap benchmarks.
On 29 August, Bank of Montreal (BMO) (A+/Aa2/AA-) mandated BMO Capital Markets, Commonwealth Bank of Australia, National Australia Bank and UBS for a potential Kangaroo deal, to come in either or both of fixed- and floating-rate formats in 3-3.25 year and 5-5.25 year maturities.
On 29 August, International Finance Corporation (IFC) (AAA/Aaa) launched a minimum A$200 million (US$146.8 million) increase to its August 2023 Kangaroo. The forthcoming deal is being marketed at 37 basis points area over semi-quarterly swap, equivalent to 43 basis points area over Australian Commonwealth government bond.
On 29 August, Kommunalbanken Norway (KBN) (AAA/Aaa) launched an increase to its May 2021 Kauri floating-rate note (FRN). The forthcoming deal has indicative price guidance of 33 basis points over three-month bank bills and is expected to price on or before 30 August. ANZ is sole lead manager.
On 29 August, Macquarie University (Aa2) launched an indicative A$100 million (US$73.4 million) 10-year sustainability bond, via HSBC and National Australia Bank. The forthcoming deal is being marketed at 95 basis points area over semi-quarterly swap and is expected to price on the day of launch.
Optus Finance (Optus) (A2 by Moody’s), the wholly owned subsidiary of Singtel Optus (A by A&P), launched a benchmark five-year domestic deal on 29 August, with indicative price guidance of 105-110 basis points area over semi-quarterly swap. Pricing is expected as early as the day of launch, according to lead managers ANZ and Westpac Institutional Bank.