News
Dexus Finance (Dexus) (A-/A3) launched and priced a new 10-year domestic deal on 27 April. The minimum volume was A$100 million (US$74.8 million) and indicative price guidance was 160 basis points over semi-quarterly swap.
NEXTDC (NR) revealed on 27 April that it is planning a domestic market return, having mandated National Australia Bank to evaluate a potential A$200 million (US$149.6 million) wholesale, senior-unsecured fixed-rate transaction. According to an announcement lodged with the Australian Securities Exchange, NEXTDC will use the proceeds from the forthcoming offering to redeem its outstanding unrated notes at their next optional redemption date of 16 June 2017.
Bank of Queensland (BOQ) (A-/A3/A-) launched a three-year floating-rate domestic deal on 26 April. Initial price guidance is 100 basis points area over three-month bank bill swap rate.
While global geopolitical risk dominates headlines, Australian debt capital markets have in 2017 arguably had their most promising start in several years. Conversations at the KangaNews DCM Summit took in all the key market themes and the bigger picture affecting industry participants now and in the future.
With a lurch towards political populism and isolationism to a degree not seen for decades and a growing divergence in global monetary policy, the KangaNews DCM Summit gathered a group of leading market economists to gauge the state of play in geopolitics and ponder the potential impact on markets and economies.
For the first time, in 2017 Canadian bank treasurers sat on a panel at the KangaNews DCM Summit. They discussed their interpretations of the Canadian regulatory environment and how the changing landscape is affecting bank funding and liquidity.
Geopolitical tension has increased in the wake of the election of Donald Trump as US president. In Asia, Trump’s rhetoric on China and concerns around North Korea’s plans are adding to regional uncertainty. However, at the KangaNews DCM Summit 2017 Richard Broinowski, a former senior Australian diplomat and president of the Australian Institute of International Affairs (AIIA) in New South Wales, argues that now is the time to be very clear-headed about the situation and what if anything Australia should do about it.
Rentenbank priced an increase to its March 2027 Kangaroo bond on 24 April. Minimum volume was A$50 million (US$37.8 million) and the deal was marketed at 54 basis points over swap or 72.5 basis points over Australian Commonwealth government bond.