Semi-government issuance gathers momentum with jumbo QTC print
At A$3 billion (US$2.3 billion), Queensland Treasury Corporation (QTC)’s latest deal is the largest syndicated transaction from a semi-government borrower in a decade. The issuer says recent primary-market transactions in the government space suggested a receptive backdrop for new issuance following volatility in secondary markets earlier in the year.
Domestic market delivers for Westpac tier-two
Westpac Banking Corporation’s latest tier-two transaction, priced on 21 January, opened the Australian dollar financial-institution (FI) market for 2021. The issuer says lack of major-bank supply coupled with the liquidity environment is supporting broad-based demand for its tier-two transactions.
Australian Unity MCI to help it expand and deliver on purpose
Australian Unity issued Australia’s first-ever mutual capital instrument (MCI) on 24 December 2020. The A$120 million (US$93 million) perpetual security came nearly two years after enabling legislation passed in federal parliament. Adam Vise, the issuer’s Melbourne-based group treasurer, discusses the impetus for and mechanics of the transaction.
SSAs find 10-year Kangaroo opportunities but conditions remain challenging
Asian Development Bank (ADB) and European Investment Bank (EIB) delivered mid-January Kangaroo deals at a tenor – 10 years – that had been missing in the new-issuance market. Deal sources say Australian dollar pricing relative to core currency markets is still too wide to encourage more widespread sovereign, supranational and agency (SSA) issuance.
TCV enters Australian dollar mid-curve supply void
Treasury Corporation of Victoria (TCV) stepped into a quiet Australian dollar market with a new four-year syndication on 20 January. The issuer says secondary market selling that dominated market tone early in the year appears to have cleared and that issuance conditions supported a substantial book and final volume.