Banco Santander’s investor-friendly approach keeps TLAC flow in focus
The investor-friendly approach adopted by Banco Santander in the execution of its A$800 million (US$611.9 million), senior-nonpreferred EMTN was instrumental in the deal’s volume and bookbuild outcome, deal sources suggest. They say other offshore bank issuers are circling, based on a view of Australian dollars as a good diversification option.
“Unquestionably strong” for majors equals 10.5 per cent CET1, APRA says
The Australian Prudential Regulation Authority (APRA) published its long-awaited determination of the definition of “unquestionably strong” in relation to Australia’s big-four banks on 19 July. It also hints at a potential future move more closely to align Australian capital ratio methodology with international standards.
Conditional pass through ticks the boxes for BOQ
Issuer and lead sources on Bank of Queensland (BOQ)’s debut conditional pass through (CPT) covered bond say the deal paves the way for more Australian-origin issuance for the broadly European asset class. The deal helped BOQ achieve a key target in its funding strategy as well as provided a welcome level of ratings stability in an uncertain backdrop.
First higher-education domestic deal since 2015 brings university curve back in focus
In its market debut, University of Technology, Sydney (UTS) reaped the benefits of tightening spreads and a positive market tone to print the largest and tightest domestic transaction by an Australian university, deal sources say. They also attribute the deal’s success to a growing familiarity with the university funding model.
Flexibility, scarcity and a hunt for credit support Adelaide Airport’s domestic-market return
In the wake of Adelaide Airport’s first domestic transaction in seven years, deal sources attribute robust demand to a desire for infrastructure assets as well as the ongoing hunt for credit product. Flexibility on the part of the issuer and investors was also key.