Commonwealth Bank of Australia
Commonwealth Bank of Australia (CommBank) has printed the first Australian-origin transaction to reference an alternative benchmark rate. The bank issued £125 million (US$158.8 million) of one-year notes on 3 December at 40 basis points over the sterling overnight index average (SONIA), via RBC Capital Markets (RBCCM). Deal sources say the UK market is the most progressed towards base-rate change, but add that there is much work still to be done ahead of the forthcoming expiry of interbank offered rates.
On 25 March, BWP Management, the responsible entity for BWP Trust (A-/A3) announced plans for a potential new Australian dollar denominated deal. Commonwealth Bank of Australia and Westpac Institutional Bank have been mandated to arrange a conference call with fixed-income investors on 29 March.
On 22 March, Edith Cowan University (Aa2) revealed plans for a potential new Australian dollar denominated bond transaction. Commonwealth Bank of Australia and National Australia Bank have been mandated to arrange a series of investor meetings in Australia and Hong Kong commencing 28 March.
On 25 March, Heartland Bank revealed plans for a new, five-year deal to be offered to institutional and New Zealand retail investors. Full details for the potential transaction are expected to be released on 1 April. BNZ is arranger and lead manager alongside Commonwealth Bank of Australia, Deutsche Craigs and Westpac Banking Corporation New Zealand Branch.
Pepper Group (Pepper) revealed plans to bring a new prime residential mortgage-backed securities (RMBS) transaction on 21 March, with tranches in Australian dollars and in US dollars in 144A and Reg S formats. Citi, Commonwealth Bank of Australia, National Australia Bank and Standard Chartered have been mandated to arrange a series of investor meetings in the US during the week beginning 25 March and in the week commencing 1 April in Australia.