Woolworths tightened pricing on its return to domestic senior issuance by 22 basis points but was still able to print a large deal with a substantial oversubscription. The resumption of deal flow after a relatively orderly US election has enabled aggregate Australian dollar corporate issuance to carry on past the A$25 billion mark for 2024, adding more than 20 per cent to the previous annual record.

A trio of transactions from inner-circle Australian blue chip corporate names in early September suggest investor interest is keenest in higher-yielding good-quality product. Scentre Group received overwhelming demand for a subordinated deal, and while Telstra Group and Woolworths were also well covered and able to execute quickly the response was more measured.

Australian dollar corporate supply in 2023 was hampered by uncertainty amid a higher interest-rate environment and a lack of immediate funding need. This caused some issuers to hold off entirely, while others accessed more competitive offshore capital markets. But by year-end, early signs pointed to a more active 2024.