In November 2018, the first-ever KangaNews-Westpac New Zealand Sustainable Finance Summit took place in Auckland. The event brought together participants from across the New Zealand capital market including corporate entities, institutional investors and government to enhance dialogue about market-led solutions to the challenges posed by transition to a sustainable environmental and social future.
On 18 June, Barclays (BBB/Baa3/A) revealed initial price thoughts for a five- and 10-year Australian dollar denominated transaction. The five-year tranche will come in either or both fixed- and floating-rate formats and is being marketed at 225 basis points area over swap benchmarks, while the 10-year fixed-rate tranche is being marketed at 260 basis points area over semi-quarterly swap.
On 13 June, Macquarie Bank (A/A2/A) began taking indications of interest for a three-year Australian dollar denominated benchmark transaction, offered in either or both fixed- and floating-rate note (FRN) formats and for a one-year senior-unsecured FRN. The three-year tranche has initial price guidance of 80 basis points area over swap benchmarks while the one-year tranche is being marketed at 45 basis points area over three-month bank bills.
On 13 June, Avanti Finance (Avanti) launched its residential mortgage-backed securities (RMBS) deal, Avanti RMBS 2019-1. The forthcoming transaction is expected to price on or before 18 June and is capped at NZ$200 million (US$131.6 million). Westpac New Zealand is the arranger and sole lead manager.
A dearth of public corporate issuance and clarity around interest-rate direction provided a window of opportunity for PACCAR Financial to bring a quickfire return to the Australian market. The transaction, the issuer’s second in nine months, was two-times subscribed based on a final book in excess of A$320 million (US$222.6 million).