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On 1 October, Avanti Finance began taking indications of interest (IOI) for its residential mortgage-backed securities (RMBS) deal, Avanti RMBS 2020-1. The transactions has indicative volume of NZ$250 million (US$165.7 million) and may launch in the week beginning 5 October. Westpac New Zealand is sole lead manager.
Debates around price, impact and social benefit in environmental, social and governance (ESG) investing have been quickly developing in recent years, and been further energised by the COVID-19 crisis. Commonwealth Bank of Australia (CBA) facilitated a discussion to get the latest views from issuers and investors.
On 30 September, DBS Group Holdings (Aa2/AA-) launched a 10.5-year non-call 5.5-year, tier-two Kangaroo deal. The forthcoming transaction has indicative price guidance of 195 basis points area over swap benchmarks and is expected to price on the day of launch. The notes are expected to be rated A2/A.
On 30 September, Lonsdale Finance (Baa2/BBB), the financing arm of Port of Melbourne, revealed plans for a group investor update on 6 October regarding a potential seven-year, Australian dollar denominated, senior-secured transaction. ANZ, Commonwealth Bank of Australia and National Australia Bank are joint lead managers for the deal, while Bank of China is a passive lead manager.
AusNet Services Holdings pushed ahead with a hybrid-capital deal despite global market volatility rearing in the days preceding launch. Issuer and leads say support was secured from key accounts in advance but the deal also attracted plenty of bids from yield-hungry investors despite the challenging environment.
On 30 September, Vector (BBB by S&P) launched a six-year, indicative NZ$150 million (US$98.9 million), domestic wholesale transaction, with indicative price guidance of 130-145 basis points over mid swap. ANZ and BNZ are joint lead managers for the deal, which is expected to price on the day after launch.
On 29 September, Thinktank Group began taking indications of interest for its commercial mortgage-backed securities (CMBS) transaction, Series 2020-1. Total capped volume for the deal is A$600 million (US$425 million). Commonwealth Bank of Australia is arranger and joint lead manager alongside Deutsche Bank and Westpac Institutional Bank.
On 29 September, Australian Finance Group (AFG) began taking indications of interest for its residential mortgage-backed securities (RMBS) deal, 2020-1NC Trust. Indicative total volume for the transaction is A$350 million (US$247.8 million) and is expected to launch in the week beginning 5 October. National Australia Bank is arranger and joint lead manager alongside Commonwealth Bank of Australia.
On 29 September, DBS Group Holdings (Aa2/AA-) began taking indications of interest for a potential 10.5-year non-call 5.5-year (10.5NC5.5), tier-two, Kangaroo transaction. The deal is being marketed at 195 basis points area over swap benchmarks and an investor call will take place on the same day.
On 28 September, Vector (BBB/Baa1) revealed plans for a new, six-year, New Zealand dollar denominated wholesale deal. ANZ and BNZ have been appointed joint lead managers.
Deal activity in the Australian market was bustling in the week ending 25 September, with Australian Office of Financial Management printing another record-size syndicated transaction, an offshore financial institution executing a social-bond Kangaroo and a rare corporate capital deal from AusNet Services Holdings.