News

Demand for Pepper’s latest residential mortgage-backed securities (RMBS) transaction surpassed A$2 billion (US$1.5 billion) including a substantial offshore bid. The deal was well underway before market volatility spiked again, but the issuer says the main driver of investor support was its long-term and ongoing offshore investor-relations campaign.

Australian dollar securitisation was prominent in the third week of March, with Pepper Group pricing a A$1 billion (US$769.8 million) residential mortgage-backed securities deal and Latitude Finance Australia printing A$500 million in a Reg S asset-backed securities transaction. Westpac New Zealand printed a NZ$550 million (US$397.1 million) five-year deal in another strong week for the New Zealand dollar market.

The KangaNews DCM Summit gathered a range of specialists in Sydney on 14 March to debate the latest state of play in market liquidity, trading and benchmarks. Developments across asset classes and what to expect from liquidity as volatility returns were high on the agenda.

Asian Development Bank (ADB) (AAA/Aaa/AAA) launched a minimum A$100 million (US$77.6 million) increase to its August 2028 Kangaroo bond on 22 March. The forthcoming deal is being marketed at 41 basis points area over semi-quarterly swap, equivalent to 48.5 basis points area over Australian Commonwealth government bond.