Latest News
The accompanying statement to the Reserve Bank of Australia (RBA)'s hold decision at its latest monetary policy meeting is firmly neutral, analysts say. They suggest explicit forward guidance is absent, while the RBA notes the pickup in volatility across global markets.
Solid investor demand supported Contact Energy's first domestic transaction under New Zealand's recently enacted same-class exemption regulation. The issuer shares insights into arrangement and execution of deals under this format, while intermediaries expect it will support a growing domestic issuance pipeline.
New Zealand retail market activity was rekindled during the last full week of August, as Contact Energy and SKYCITY Entertainment Group returned. Elsewhere, new primary issuance remained muted.
On August 24, Contact Energy (Contact) (BBB by S&P) priced a new, unsecured, unsubordinated fixed-rate public bond in the New Zealand market.
Apple's (AA+/Aa1) record-breaking Australian issue significantly surpassed expectations by a long way, market participants say. Not only is the transaction the largest-ever corporate deal in the Australian market, but it did not disrupt primary flow elsewhere and was able to attract a wealth of demand despite, investor sources say, not offering bargain pricing.
Apple stole the limelight for the week with pricing of its debut Kangaroo transaction on August 21. The A$2.25 billion (US$1.64 billion) deal was the largest-ever Australian-dollar transaction by a corporate issuer, second only to BHP Billiton Finance's two A$1 billion domestic trades in October 2012 and March 2015. Elsewhere, full- and half-year results saw a swathe of activity in the ratings world.
On August 21, Apple (AA+/Aa1) priced its debut bond in the Australian domestic market. The new benchmark transaction is a three-tranche deal divided into four-year and seven-year fixed-rate pieces, and a four-year floating-rate tranche.
Lloyds Bank (A/A1/A+) priced a new three-year Australian dollar senior-unsecured transaction on August 21. The deal is the issuer's second-ever in the Kangaroo market, following its A$600 million (US$438.5 million) debut which priced in March this year.