Next in the series talking to the individual award winners from the KangaNews Awards 2016, Tom Irving, managing director and head of Asia syndicate at TD Securities, and Brad Scott, director, corporate debt markets origination at National Australia Bank, reveal what it takes to be an award-winning intermediary in an everchanging Australian market.
AT&T’s debut Kangaroo deal, which priced on 14 September, marked the return of US corporate issuance to the Australian market for the first time this year. Deal sources say cash repatriation by major US corporate names has drastically reduced offshore issuance from US credits globally, but insist AT&T’s A$1.3 billion (US$949.2 million) result demonstrates that Australia remains open for business to this type of borrower.
On 19 September, Svenska Handelsbanken (AA-/Aa2/AA) launched a new, five-year senior-unsecured Kangaroo deal, to come in either or both fixed- and floating-rate formats. Indicative price guidance for the forthcoming transaction is 100 basis points area over swap benchmarks. Pricing is expected on or before the day after launch, according to lead managers Citi, TD Securities, UBS and Westpac Institutional Bank.
Japanese investors have supported the evolution of long-dated supranational, sovereign and agency issuance in Australia in recent years. However, market factors are combining to call the support these investors have traditionally provided into question. TD Securities gives the latest update.
In August 2018, KangaNews asked supranational, sovereign and agency (SSA) borrowers to respond to a survey of their global issuance patterns and funding profiles – and 27 of the 32 profiled in this yearbook responded. Despite headwinds, survey responses generally indicate optimism about the Australasian capital markets with views on global demand particularly encouraging.