News
KfW Bankengruppe (KfW (AAA/Aaa/AAA) launched and piced the fifth increase of its February 2025 Kangaroo bond on June 16. According to KangaNews data, the line was first introduced in August 2014 at volume of A$450 million (US$349.2 million) and pricing of 57.50 basis points over Australian government bond (ACGB).
The treasurer of Western Australia (WA), Mike Nahan, told an investor and dealer panel lunch in Sydney on June 12 that the long-term good of the state economy outweighs near-term demands of rating agencies – which are likely to be satisfied in the coming years, anyway. The state government is doing what it can to improve its budget position, Nahan, says, within the bounds of easing a major economic transition.
On June 15, University of Sydney (Aa1) announced that it is preparing to embark on a series of debt investor meetings in Australia commencing during the week of June 22. The meetings' arrangers, ANZ and National Australia Bank, say a capital markets transaction may follow.
SCT Logistics (NR) launched a new unrated senior-unsecured issue in the Australian market on June 15. The issuer is seeking to raise A$75-85 million (US$58.0-65-7 million) from the dual-tranche deal. According to KangaNews data, if the transaction prices at the top end of this estimate it will be the largest unrated bond issue in the local market. In September last year, 360 Capital Investment Management (NR) priced A$75 million in a five-year issue.
Warehouse Group (Warehouse) (NR) closed its senior bond offer in the New Zealand market having raised NZ$125 million (US$87.4 million). According to a statement released on the NZX, the bonds will begin trading on June 16.
Deal flow cooled during the Australian holiday-shortened week. Even so, Bendigo and Adelaide Bank priced its inaugural residential mortgage-backed securities transaction of the year, China Construction Bank New Zealand debuted and EUROFIMA returned for its first Kangaroo since early 2014.
EUROFIMA says its decision to return to the Kangaroo market was derived from a combination of best pricing and latent demand from Japanese and local investors. The issuer's requirement for 10-year funding is large enough that it is also confident around its plans to return to the Australian market in future.
Bendigo and Adelaide Bank (BEN) has priced its first prime residential mortgage-backed securities (RMBS) deal of 2015. The transaction – Torrens Series 2015-1 Trust – had indicative volume of A$500 million (US$389.8 million) across six tranches.