News
On 21 March, Volkswagen Financial Services (Volkswagen) revealed plans to update investors regarding a possible Australian dollar denominated transaction under its Driver Australia asset-backed securities (ABS) programme. ANZ and Bank of America Merrill Lynch have been mandated to arrange the update.
The individuals recognised as the KangaNews Market People of the Year in the KangaNews Awards 2017 were revealed for the first time at the KangaNews Awards Gala Dinner in Sydney on 14 March. For the first time, the individual categories in the KangaNews Awards were open to participants across the Australasian debt markets, and the first group of winners reflects this new diversity.
Heritage Bank (Baa1/BBB+) launched a three-year domestic benchmark floating-rate note (FRN) transaction on March 20, via ANZ and National Australia Bank. The forthcoming deal has indicative price guidance of 125 basis points area over three-month bank bills and is expected to price on the day of launch.
On 20 March, HSBC New Zealand (HSBC NZ) (AA-/Aa3) revealed plans for a new, three-year domestic floating-rate note (FRN) transaction. BNZ, Commonwealth Bank and HSBC have been mandated as lead managers for the deal, which is expected to launch in the coming week.
A rare long-end Kauri print, by Inter-American Development Bank (IADB) on 9 March, hints at potential future market development according to deal sources. With Kauri mid-curve issuance enjoying a renaissance so far in 2018, IADB’s transaction may indicate the possibility of an emerging longer-dated bid.
On 19 March, Rentenbank (AAA/Aaa/AAA) launched a minimum A$50 million (US$38.5 million) increase to its April 2028 Kangaroo bond via J.P. Morgan. The forthcoming deal is being marketed at 42 basis points area over semi-quarterly swap, equivalent to 50 basis points area over Australian Commonwealth government bond.
On 19 March, Pepper Group (Pepper) launched its residential mortgage-backed securities (RMBS) transaction, Pepper Residential Securities Trust No. 20 (PRS 20). The forthcoming deal has a total indicative volume of A$700 million (US$540.2 million) equivalent, including the US dollar denominated Class A1-u1 notes for US$113.5 million.