FlexiGroup expands its investor base with first subordinated green tranche
FlexiGroup became the first issuer in the Australian market to include green subordinated notes in an asset-backed securitisation (ABS) deal with its latest transaction. Deal sources say the expansion of green tranches into the double-A rating space is a continuation of FlexiGroup’s plan to broaden its investor base through the issuance of green product.
Read more: FlexiGroup expands its investor base with first subordinated green tranche
Gross ACGB issuance to ease marginally in 2018/19
The Australian Office of Financial Management (AOFM)’s gross issuance task for 2018/19 is projected to be A$4 billion (US$3 billion) lower than the updated target for the current financial year, at A$70 billion. The AOFM disclosed the new issuance projection on 9 May, the day after the Australian Commonwealth budget.
Under the radar
The Australian dollar market has picked up its game when it comes to bringing together debt capital and investment-grade borrowers. The gradual emergence of a private debt market suggests that, in time, the same might be true for a bigger group of corporate borrowers outside the benchmark arena.
Green wave
Participants in the sustainable-debt space say the launch of green-loan principles (GLPs) could be another evolutionary step in sustainable funding. By standardising and codifying what qualifies as green bank lending, the GLPs could make sustainable finance relevant to a wider cohort of borrowers as well as help identify assets to support future green-bond issuance.
Slow to return
Last year was the most positive for Australia’s corporate bond market since its previous purple patch around 2012. But some corporate names that issued half a decade ago are yet to take advantage of the renewed good conditions. KangaNews asked a handful of these issuers why not.