News
On August 21, Shinhan Bank (A+/Aa3/A) mandated ANZ and BNP Paribas for a 10-year, Australian dollar tier-two bullet transaction. The subordinated notes are expected to be rated BBB+/Baa1.
On 21 August, Volkswagen Financial Services Australia (Volkswagen Australia) (BBB+/A3) launched a benchmark, February 2022-maturity domestic deal. The forthcoming deal has indicative price guidance of 120 basis points area over semi-quarterly swap. Pricing is expected on the day of launch, according to lead managers RBC Capital Markets and Standard Chartered Bank.
Volkswagen Financial Services Australia (Volkswagen Australia), the Australian funding arm of Volkswagen Financial Services (BBB+/A3), mandated a potential 3.5-year senior-unsecured domestic deal on 20 August. The forthcoming deal is expected to launch in the near future, led by RBC Capital Markets and Standard Chartered Bank.
Bank Australia (BBB/Baa1) launched its inaugural sustainability bond on 20 August. Price guidance for the A$100 million (US$73.1 million) minimum three-year floating-rate deal is in the area of 133 basis points over three-month bank bills. Pricing, via ANZ, is expected on the same day as launch.
Z Energy (NR) opened its offer of NZ$100-125 million (US$66.3-82.9 million) six-year, unsubordinated fixed-rate bonds to institutional and retail investors in New Zealand on 20 August. The forthcoming secured deal, due in September 2024, will have a minimum interest rate of 4 per cent and an indicative issue margin of 150-160 basis points over swap. The coupon and margin will be set on the rate set date, on 24 August.
Financial institutions continued to dominate deal flow in the second full week of August, with ING Bank Australia pricing a A$1 billion (US$726.4 million) dual-tranche covered bond and DBS Bank Australia Branch printing a A$600 million three-year domestic deal. Elsewhere, Northern Territory Treasury Corporation syndicated a A$500 million May 2030 line.