News
On November 2, EUROFIMA (AA+/Aa1) topped up its January 2027 Kangaroo by A$25 million (US$18.3 million). Initial price guidance on the forthcoming transaction its 71 basis points over semi-quarterly swap. According to KangaNews data, the line was introduced in July this year for volume of A$75 million. It was most recently tapped by A$30 million in October at 71 basis points over swap.
Z Energy has completed its latest domestic senior-secured, fixed-rate offer, according to a November 1 NZX announcement. The proceeds from the transaction are being used to refinance an existing tranche of bonds which matured on October 15 2016 and to replace some of the bank debt associated with the acquisition of the Chevron New Zealand business.
On October 31, African Development Bank (AfDB) (AAA/Aaa/AAA) priced a A$30 million (US$22.8 million) increase to its June 2026 Kangaroo bond. The transaction priced flat to initial guidance of 51 basis points over semi-quarterly swap. According to KangaNews data, this line was introduced in May 2014 for volume of A$75 million. It was most recently tapped by A$25 million in September at 51 basis points over swap.
Japanese life insurers' demand for offshore bonds continues to grow, in particular these investors' increasing focus on credit product. An ANZ research note published on October 31 provides insights into the Japanese life sector's investment intentions – and the report's author says finding assets to fulfil this demand could be the biggest challenge for the Australian market.
Kangaroo supranational, sovereign and agency deal flow picked up in the last week of October with six deals priced. Queensland Treasury Corporation printed A$1.5 billion (US$1.13 billion) in a 2027 syndication and Auckland International Airport upsized its domestic deal to NZ$225 million (US$160.7 million) from NZ$100 million.
Thinktank Commerical Property Finance (Thinktank) priced a new A$280 million (US$212.7 million) SME commercial mortgage-backed securities (CMBS) transaction on October 28. Thinktank launched the transaction for a target volume of A$200 million.
On October 28, MyState Bank printed A$300 million (US$227.8 million) in a new residential mortgage-backed securities (RMBS) transaction under its ConQuest programme. The A$270 million A1 notes and A$10.5 million A2 notes priced flat to guidance at 130 basis points over one-month bank bill swap rate (BBSW) and 190 basis points over one-month BBSW respetively.
Auckland International Airport (Auckland Airport) (A-) printed NZ$225 million (US$160.5 million) of seven-year notes, on October 28. Final pricing came in at 135 basis points of mid-swap - the tight end of guidance of 135-140. The transaction was upsized from a launch volume of NZ$100 million.
GPT RE (A/A3) – the responsible entity of General Property Trust (GPT) – priced A$200 million (US$151.9 million) of seven-year notes, on October 28. According to KangaNews data, GPT was most recently in the domestic market on October 7 when it printed a A$50 million tap to its August 2026 domestic line. This transaction priced at 165 basis points over semi-quarterly swap.
AFG printed a total of A$300 million (US$228.8 million) in its latest residential mortgage-backed securities (RMBS) deal – its first since April 2014 – on October 27. The largest tranche, the three-year weighted-average life class A2 notes priced in line with indicative pricing of 130 basis points over one-month bank bills.
On October 27, Queensland Treasury Corporation (QTC) (AA+/Aa1) priced A$1.5 billion (US$1.1 billion) of 2027-maturity notes in its largest syndicated transaction of the year. The deal is the issuer's fourth syndication of the year according to KangaNews data, adding to the A$2.9 billion it had already placed in bookbuilt deals – all with either 2026 or 2028 maturity.