HSBC Australia completes new 2014 domestic benchmark [UPDATED]
On April 11, HSBC Bank Australia (HSBC Australia) (AA/Aa3) launched and priced a new three-year domestic deal with volume capped at its launch size of A$500 million (US$528.2 million). The floating rate notes transaction tightened its margin by a single basis point between launch and pricing, closing at 84 basis points over bank bill swap rate.WRT takes A$900 million in debut bond deal [UPDATED]
Westfield Retail Trust (WRT) (A+), the recently-founded entity which has taken ownership of the lion's share of Westfield Group (Westfield)'s Australasian assets, issued its debut bond transaction into the Australian market on April 12 one day after launch. The A$900 million (US$938 million) five-year deal was upsized from a launch volume of A$500 million and achieved indicative pricing of 120 basis points over swap.More RMBS activity as Citigroup completes first deal since 2008 [UPDATED]
Citigroup completed its first Australian residential mortgage-backed securities (RMBS) issue since 2008 on April 19. The deal achieved its target volume of A$760 million (US$797.8 million), with leads revealing that the book was oversubscribed - predominantly by domestic asset managers. The deal, Secured Australian Mortgage Trust 2011-1, is the fifth domestic RMBS to price in April following just three transactions in the first quarter.RMBS momentum picks up as issuers work through regulatory complexities
Although the year started off with subdued activity in the Australian securitisation market – with just three asset-backed transactions being completed by the end of March – a number of residential mortgage-backed securities (RMBS) deals have been launched since the start of the second quarter. Intermediaries agree that demand from real money and balance sheets is abundant, but such appetite has remained unfulfilled as supply has been constrained.