News
On 27 August, International Finance Corporation (IFC) (AAA/Aaa) launched a minimum NZ$200 million (US$133.5 million) five-year Kauri bond, with indicative price guidance of 37 basis points area over mid swap. The deal is expected to price on or before 28 August, according to lead managers ANZ and BNZ.
On 27 August, Oversea-Chinese Banking Corporation Sydney Branch (OCBC Sydney) (AA-/Aa1/AA-) mandated ANZ, Commonwealth Bank of Australia, OCBC and Westpac Institutional Bank to lead a potential three-year domestic deal.
On 27 August, Kommunalbanken Norway (KBN) (AAA/Aaa) launched a new, indicative A$250 million (US$183.4 million) five-year Kangaroo green bond. Indicative price guidance for the forthcoming deal is 45 basis points area over semi-quarterly swap, equivalent to 54.25 basis points area over Australian Commonwealth government bond. Pricing is expected on the day after launch, according to joint lead managers RBC Capital Markets and TD Securities.
Innovative product was front and centre in the Australian market in the third week of August, as World Bank priced its world-first blockchain bond, with a A$110 million (US$72.5 million) two-year Kangaroo and Bank Australia debuted with a A$125 million three-year sustainability bond. Meanwhile, in New Zealand Z Energy priced a NZ$125 million (US$83 million) six-year retail bond.
On 24 August, International Finance Corporation (IFC) (AAA/Aaa) launched a minimum A$100 million (US$72.5 million) increase to its April 2025 Kangaroo. The forthcoming deal will price on the day of launch and is being marketed at 40 basis points area over semi-quarterly swap, equivalent to 40.25 basis points area over Australian Commonwealth government bond. TD Securities is sole lead manager.
National Australia Bank (NAB)’s first foray into the euro market for 2018 – five- and 10-year transaction in which the shorter-dated notes were green bonds – garnered a large oversubscription and tightened pricing in a busy market. Deal sources say NAB’s updated green bond programme, which now incorporates the UN Sustainable Development Goals (SDGs) played a part in the deal’s reception.
On 24 August, KfW Bankengruppe (KfW) (AAA/Aaa) launched an increase to its March 2028 Kangaroo bond, via Citi and Nomura. The forthcoming deal has indicative price guidance of 38 basis points area over semi-quarterly swap, equivalent to 43 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch.