Mid-curve Kangaroo market pricing has swung back into a range that some global supranational, sovereign and agency (SSA) borrowers consider to be an acceptable premium for diversification purposes, market participants say. A recent-year issuance decline shows signs of having bottomed out – though it is yet to rebound – and market users say demand for the SSA product is steadily broadening.
On 19 November, AMP Life (A-/A3), part of Resolution Life Group, appointed Citi, Deutsche Bank, Mizuho Securities and National Australia Bank as joint lead managers for a potential 15-year non-call five-year, Australian dollar tier-two transaction. Fixed-income investor calls will begin on 23 November. The deal is expected to be rated Baa2.
On 19 November, Metropolitan Life Global Funding (MetLife) launched a funding agreement (FA)-backed notes, five-year, Kangaroo, benchmark transaction, offered in either or both fixed- and floating-rate formats. Metropolitan Life Insurance Company is the funding agreement provider.
On 18 November, Metro Finance mandated Deutsche Bank and National Australia Bank to engage investors regarding a potential auto and equipment asset-backed securities (ABS) transaction.
Queensland Treasury Corporation (QTC) tells KangaNews a disrupted market earlier in the year delayed its return to the green-bond market. Its latest transaction was greeted with a significant oversubscription and greater participation from offshore.