News
Suncorp Group (Suncorp) completed the bookbuild on its additional tier-one (AT1) deal, Suncorp Capital Notes 2, on 30 October. In an announcement lodged with the Australian Securities Exchange, Suncorp revealed it has allocated A$300 million (US$230.6 million) under the broker firm and institutional offers.
Bluestone Group (Bluestone) launched its latest residential mortgage-backed securities (RMBS) transaction, Sapphire XVII 2017-2 Trust, on 30 October. The transaction is for indicative A$300 million (US$230.3 million), according to arranger Macquarie Bank and joint lead manager Commonwealth Bank of Australia.
Latitude Finance Australia (Latitude) is preparing its third asset-backed securities (ABS) deal of 2017, and its first public personal loan-backed ABS, with expected ratings assigned to the forthcoming deal on 30 October. Latitude Australia Personal Loans Series 2017-1 Trust has a six-tranche structure with indicative aggregate volume of A$542.5 million (US$416.5 million), according to preliminary ratings reports by Moody’s Investors Service and Fitch Ratings (Fitch).
In the wake of its third-ever Kangaroo transaction, NRW.BANK says the deal is another small step in the agency’s strategic commitment to the Australian dollar market. Issuing in Australia is not without challenges, NRW.BANK acknowledges, but it expects future funding opportunities to become more plentiful as European QE is removed.
Treasury Corporation of Victoria (TCV) (AAA/Aaa) launched the syndication of an indicative A$100 million (US$76.7 million) November 2047 bond on 30 October. Initial price guidance is 125-127 basis points over EFP, according to lead manager Commonwealth Bank of Australia.
Fonterra Co-operative Group returned to the Kangaroo market during the last full week of October, printing A$300 million (US$229 million) and its largest Australian dollar deal since 2014. Elsewhere, Pepper Australia netted A$600 million equivalent in a new nonconforming residential mortgage-backed securities transaction. Final books approached A$1.9 billion equivalent, according to the issuer.
Northern Territory Treasury Corporation (NTTC) returned to the domestic syndicated market on 24 October for its second transaction in three months and its fourth in a year, before which the issuer had been absent from the market for two-and-a-half years. A change in government and the resulting need to fund capital investment, including an infrastructure programme, has driven NTTC’s return, the issuer reveals.