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Increased domestic issuance was not enough to dislodge RBC Capital Markets (RBCCM) from top spot in KangaNews's combined Kangaroo and Australian domestic intermediary league table, although Commonwealth Bank of Australia (CommBank)'s presence on the top line of Royal Bank of Scotland Australia Branch's local debut solidified its position in third place.

St.George Bank (A+/Aa2/A+) priced a A$50 million (US$47.7 million) increase to the floating rate tranche of the July 2010 bond it originally brought to market in July 2005. The latest private placement, which lead manager UBS Investment Bank says was sold domestically, priced at 72 basis points over BBSW.

Municipality Finance (MuniFin) (AAA/Aaa) has priced its inaugural Kauri deal – a 7.73 per cent NZ$100 million (US$78 million) June 2011 bond led by Bank of New Zealand. The transaction priced at 10 basis points through mid-swap, or 104 basis points over the NZGB.

Royal Bank of Scotland Australia Branch (AA/Aaa/AA) (RBS Australia), priced its first domestic deals, a two-year A$700 million (US$672.56 million) FRN and a three-year A$425 million two-tranche bond, on May 29.

Bank of Queensland (BBB+/A2/BBB+) (BOQ) priced a A$170 million (US$163.42 million) 10NC5 subordinated bond on May 29 – the first subordinated transaction from one of Australia's regional banks since the credit crisis.

Merrill Lynch (A+/A1/A+) (ML) has held an investor update in Australia, and while no deal is expected in the coming days sources say the market is inching closer to the return of offshore financial institutions with investor interest continuing to pick up.

Dominant market share in the Kangaroo sector has propelled RBC Capital Markets (RBCCM) to top spot in KangaNews's first combined Kangaroo and Australian domestic intermediary league table, excluding self-led deals.

There has been an early positive response to the Treasurer of the Commonwealth of Australia Wayne Swan’s May 20 announcement that the government will increase debt issuance, the Australian Office of Financial Management (AOFM)’s investment mandate will be expanded and that semi-government bond issuance will be exempt from interest withholding tax.

European Investment Bank (AAA/Aaa/AAA) (EIB)’s 2013 Kangaroo bond is the first from a triple-A rated issuer to reach A$2 billion (US$1.92 billion) in size following the May 20 increase of A$500 million to the line.

The August 2011 Kangaroo bond first brought to market by KfW Bankengruppe (AAA/Aaa/AAA) (KfW) in February this year has reached a total size of A$1 billion (US$937.4 million) following a tap of A$400 million on May 14.

The Kauri markets two largest supranational issuers have reacted positively to Reserve Bank of New Zealand (RBNZ)'s May 7 announcement that it is to abandon limits on the amount of paper from SSA Kauri bond issuers it will accept for repo purposes.

Instituto de Crédito Official (AAA/Aaa/AAA) (ICO) launched and priced a A$200 million (US$187.52 million) increase to its 2012 Kangaroo bond on May 12, bringing the total outstanding in this line to A$1.2 billion.