World Bank extends Kangaroo curve with new 10-year [UPDATED]
The World Bank (AAA/Aaa/AAA) issued a new A$700 million 2020 maturity Kangaroo bond on September 21 in its third Australian market transaction of the year. This year was already a record for World Bank Kangaroo issuance, with the supranational having now priced A$3.6 billion (US$3.4 billion) in three transactions – easily surpassing its previous record of A$1.4 billion from 2009.Domestic corporate markets stirring as bank flow goes on
Although the recent run of strong issuance from the bank sector continued in the past week, there are also signs of the domestic corporate market stirring with several corporates roadshowing and a number of deals in the pipeline. But while some corporates are gaining confidence in the market, others are still casting their net offshore for perceived security of pricing and volume.
RBS Australia to increase 2013 line
On September 16, the Royal Bank of Scotland Australia Branch (RBS Australia) (A+/Aa3/AA-) mandated a A$250 million (US$234.2 million) increase to its August 2013 line. The transaction is expected to launch and price today, and will add to a line that currently has A$1.5 billion outstanding across fixed and floating rate tranches of equal volumes.
ME Bank upsizes new RMBS to total A$1 billion [UPDATED]
ME Bank's third residential mortgage-backed securities (RMBS) transaction of the year priced on September 23, with the deal upsized to total volume of A$1 billion (US$955.3 million). The deal, SMHL Securitisation Fund 2010-3, had an initial volume of A$800 million at launch and is the first Australian RMBS transaction to price since FirstMac's A$416 million issue from September 6.
DBNGP Finance takes A$550 million in largest unwrapped corporate deal since 2006 [UPDATED]
Following its roadshow two weeks earlier, on September 22 DBNGP Finance (BBB-/Baa3) priced a A$550 million (US$525.6 million) five-year domestic transaction across a floating and fixed rate tranche. The deal is the first lower triple-B rated corporate transaction in Australia since the financial crisis.