AOFM to consult market on index-linked bond revival
In the wake of provision in the Australian federal budget for the resumption of index-linked commonwealth government security (CGS) issuance, the Australian Office of Financial Management (AOFM) announced on May 13 that it is set to commence a consultancy period to determine whether and how to revive the market.Australian budget clears the way for index-linked CGS
The Australian federal budget, announced on May 12, has confirmed expectations of a borrowing requirement of A$60 billion (US$45.75 billion) for the 2009-10 financial year, some of which may be funded by renewed issuance of commonwealth inflation-linked bonds.
Watercare brings NZ$200 million in five- and seven-years
Watercare Services will issue a total of NZ$200 million (US$118.74 million) of five- and seven-year maturity bonds in an institutional deal on May 15. The transaction is supported by a guarantee from Auckland City Council (AA) (Auckland City) and as a result has been given a double-A rating by Standard & Poor’s.Members Equity upsizes and prices AOFM-led RMBS
The residential, mortgage-backed security (RMBS) deal priced by Members Equity Bank on May 11 was upsized to A$714 million (US$548.57 million) – an increase of A$84 million from its April 30 launch volume – with cornerstone investor the Australian Office of Financial Management taking A$500 million of the paper.