Technicals supporting Kauri rebound
Kauri issuance rebounded in May-June as more than NZ$2.6 billion (US$1.7 billion) priced, including a rare 10-year transaction of record volume for the tenor. Technical demand drivers are at play but intermediaries suggest positive conditions could remain even as a supply gap closes in the second half of 2020.
RedZed puts CMBS back onto the Australian securitisation menu
Despite the impact of COVID-19 on the commercial property market, deal sources say RedZed Lending Solutions’ inaugural commercial mortgage-backed securities (CMBS) transaction was welcomed by investors in an improving environment for securitisation issuance.
Investor confidence and support grows in New Zealand
New Zealand Debt Management (NZDM) says its latest, record-breaking syndication had a more straightforward execution process than its previous deal, which came closer to the beginning of the COVID-19 crisis. A clearer sovereign funding picture and ongoing central bank intervention paved the way for jumbo volume despite ongoing economic uncertainty and market volatility.
Securitisation deal flow steady but sure
Primary market functionality in Australian securitisation is much closer to normal than might have been expected including an orderly flow of deals in the past month, market sources say. Investor sentiment is improving even as the wider impact of COVID-19 on the Australian economy becomes apparent.
SAFA continues to forge AONIA-linked issuance path
South Australian Government Financing Authority (SAFA) has continued in its quest to mould the Australian overnight index average (AONIA)-linked issuance market, introducing longer tenor and larger volume. The market environment has changed markedly in the last few months, including for AONIA, but the issuer says engagement continues to grow.
Read more: SAFA continues to forge AONIA-linked issuance path