Scaled back Eurozone QE could add to Kangaroo opportunities, NRW.BANK says
In the wake of its third-ever Kangaroo transaction, NRW.BANK says the deal is another small step in the agency’s strategic commitment to the Australian dollar market. Issuing in Australia is not without challenges, NRW.BANK acknowledges, but it expects future funding opportunities to become more plentiful as European QE is removed.
Infrastructure capex brings NTTC back to syndicated issuance
Northern Territory Treasury Corporation (NTTC) returned to the domestic syndicated market on 24 October for its second transaction in three months and its fourth in a year, before which the issuer had been absent from the market for two-and-a-half years. A change in government and the resulting need to fund capital investment, including an infrastructure programme, has driven NTTC’s return, the issuer reveals.
Quick-fire return for Ausgrid as investors champ at the bit
Ausgrid Finance (Ausgrid)’s selection of the Australian dollar market for its first public bond deal makes sense in the context of the issuer’s likely call on this market going forward, deal sources say. The issuer says it achieved a good pricing outcome while exceeding volume expectations, supported by solid market fundamentals and good demand for infrastructure assets.
Deutsche Bahn lays new tracks at long-end of corporate Kangaroo curve
Hard on the heels of its dual-tranche debut Kangaroo in September, Deutsche Bahn returned to the Australian market for a 15-year transaction on 23 October. The A$150 million (US$116.7 million) deal is the longest issued for a corporate Kangaroo post-crisis, according to KangaNews data. Deal sources insist the transaction further demonstrates the ability of the Australian dollar market to print at maturities competitive with offshore markets.
Powerco reduces issuer pricing risk in USPP first
Powerco returned to the US private placement (USPP) market in September, printing a NZ$125 million (US$87.3 million) 12-year deal and New Zealand’s first-ever floating-rate USPP. Investors, rather than the issuer, assumed the basis-swap risk during the transaction, explains Stuart Marshall, treasurer at Powerco in New Plymouth.