On 20 February, Avanti Finance (Avanti) (BB by S&P) mandated National Australia Bank to arrange a series of investor meetings regarding a potential Australian dollar denominated transaction.
On 20 February, KfW Bankengruppe (KfW) (AAA/Aaa) launched a minimum A$100 million (US$66.8 million) increase to its September 2026 Kangaroo bond. Indicative price guidance for the forthcoming deal is 40 basis points area over semi-quarterly swap, equivalent to 41.75 basis points area over Australian Commonwealth government bond. Pricing is expected on the day of launch, according to Nomura and RBC Capital Markets.
On 19 February, Columbus Capital began taking indications of interest for its residential mortgage-backed securities (RMBS) deal, Triton 2020-1. The deal is expected to launch in the week beginning 24 February.
A favourable basis swap has enabled New South Wales Treasury Corporation (TCorp) to take advantage of a funding opportunity in euros that was well inside its Australian dollar cost of funds. The issuer says there is opportunity in euros but its own clients’ demand constrains supply.
Sydney Airport’s market leadership, and the willingness of US private placement (USPP) investors to provide structural flexibility in transactions, were crucial to the execution of the world’s first sustainability-linked bond (SLB) with two-way pricing. Deal sources are bullish on proliferation of the product.
On 19 February, Queensland Treasury Corporation (QTC) (AA+/Aa1/AA) launched a new November 2024, Australian dollar denominated, syndicated, floating-rate note (FRN) transaction. The forthcoming deal is being marketed at 23.5-25.5 basis points area over three-month bank bills. Pricing is expected on the day after launch, according to ANZ and Commonwealth Bank of Australia.