News
Hard on the heels of pricing its first Kangaroo transaction of 2016, Nordic Investment Bank (NIB) (AAA/Aaa) priced an increase to its September 2025 Kauri bond on April 8. According to KangaNews data, this is NIB's longest-dated Kauri line and it was introduced in August 2015. It was subsequently increased a month later.
In the wake of New South Wales Treasury Corporation (TCorp)'s first syndicated benchmark bond of its 2015/16 funding year, the issuer tells KangaNews that having syndication in the funding toolkit remains very important despite its reduced funding requirement and a keenly bid semi-government market.
On April 7, Korea Development Bank (KDB) (AA-/Aa2/AA-), priced its first-ever Kauri transaction. According to KangaNews data, the deal is the first Kauri issued without a triple-A rating – including Australian bank covered bonds – since Telstra Corporation printed NZ$100 million (US$67.7 million) of fixed-rate notes in May 2010.
Nordic Investment Bank (AAA/Aaa) priced its first Kangaroo transaction of the year on April 7, increasing its February 2026 line from the A$100 million (US$) issued when the bond was introduced in July last year. The inaugural transaction priced at 54.5 basis points over Australian Commonwealth government bonds, according to KangaNews data.
On April 7, Asian Development Bank (ADB) (AAA/Aaa/AAA) priced a new, 10-year line in its second Kangaroo transaction of 2016. The new deal follows a A$300 million (US$226.8 million) five-year bond priced at 42 basis points over semi-quarterly swap in January this year.
On April 6, New South Wales Treasury Corporation (TCorp) (AAA/Aaa) priced a new nominal benchmark bond. The transaction was increased from volume of A$500 million (US$377.3 million). According to KangaNews data, this is TCorp's first syndicated domestic deal since it printed A$1.9 billion in an October 2020 benchmark line in April 2015.
On April 7, Commonwealth Bank of Australia announced the pricing of a self-led refinancing of the class A2 notes from the Medallion Trust Series 2011-1 residential mortgage-backed securities pool. The new, class A2-R notes (AAA/AAA) have volume of A$525 million (US$396.5 million) and weighted-average life (WAL) of 3.97 years.
Suncorp-Metway (Suncorp) (A+/A1/A+) priced a new, five-year senior-unsecured benchmark deal on April 6. According to KangaNews data, Suncorp's most recent senior-unsecured benchmark deal was a two-tranche, five-year deal priced in October 2015. This A$750 million (US$565.6 million), fixed- and floating-rate transaction priced at 125 basis points over swap.
An abundance of cash in investors' hands – especially in the Australian real-money sector – and a change in market technical factors supported KfW Bankengruppe (KfW) in its return to the Kangaroo market via two transactions, deal sources tell KangaNews. These factors could, they add, spur a resurgence in Kangaroo supranational, sovereign and agency (SSA) issuance.