New issues for the period 9 May – 15 May 2018 including: EIB, Goldman Sachs, NAB, NTTC, OKB, Quebec, Resimac
European Investment Bank (EIB)
EIB priced an increase to its 2028 climate awareness bond on 9 May 2018.
Volume: A$150m
Total outstanding in the line: A$1.25bn
Coupon type: fixed
Coupon rate: 3.3%
Issue/re-offer price: 100.535%
Issue yield: 3.235%
Margin to swap: 43bps/s-q
Margin to ACGB: 45.125bps/May 2028
Maturity date: 3 February 2028
Goldman Sachs Group (GS)
GS issued a new, A$625m multi tranche transaction on 9 May 2018.
Five-year fixed
Volume: A$200m
Total outstanding in this line: A$200m
Coupon rate: 3.6%
Issue/re-offer price: 99.694%
Issue yield: 3.6675%
Margin to swap: 120bps/s-q
Margin to ACGB: 145.25bps/April 2023
Maturity date: 16 May 2023
Five-year FRN
Volume: A$300m
Total outstanding in this line: A$300m
Coupon rate: 3m BBSW +120bps
Issue/re-offer price: par
Margin to swap: 120bps/3m BBSW
Maturity date: 16 May 2023
10-year fixed
Volume: A$125m
Total outstanding in this line: A$125m
Coupon rate: 4.5%
Issue/re-offer price: 99.900%
Issue yield: 4.5125%
Margin to swap: 168bps/s-q
Margin to ACGB: 172.5bps/May 2028
Maturity date: 16 May 2023
National Bank Australia (NAB)
NAB issued a new, A$2.7bn multi tranche domestic transaction on 8 May 2018.
Three-year FRN
Volume: A$750m
Total outstanding in the line: A$750m
Coupon rate: 3m BBSW +70bps
Issue/re-offer price: par
Margin to swap: 70bps/3m BBSW
Maturity date: 16 April 2021
Three-year fixed-rate
Volume: A$550m
Total outstanding in the line: A$550m
Coupon rate: 2.75%
Issue/re-offer price: 99.499% (plus 0.225% accrued)
Issue yield: 2.93%
Margin to swap: 70bps/s-q
Maturity date: 16 April 2021
Five-year FRN
Volume: A$1.4bn
Total outstanding in the line: A$1.4bn
Coupon rate: 3m BBSW +90bps
Issue/re-offer price: par
Margin to swap: 90bps/3m BBSW
Maturity date: 16 May 2023
Northern Territory Treasury Corporation (NTTC)
NTTC priced an increase to its 2028 syndicated line on 14 May 2018.
Volume: A$250m
Total outstanding in the line: A$750m
Coupon type: fixed
Coupon rate: 3.5%
Issue/re-offer price: 100.834% (plus 0.287% accrued)
Issue yield: 3.4%
Margin to ACGB: 62.5bp/May 2028
Margin to EFP: 61bps
Maturity date: 21 April 2028
Oesterreichische Kontrollbank (OKB)
OKB issued a new, A$100m 10.5 year kangaroo bond on 8 May 2018.
Volume: A$100m
Total outstanding in the line: A$100m
Coupon type: fixed
Coupon rate: 3.3%
Issue/re-offer price: 99.692%
Issue yield: 3.335%
Margin to swap: 53bps/s-q
Margin to ACGB: 58.75bps/November 2028
Maturity date: 15 November 2028
Province of Québec (Québec)
Québec priced an increase to its 2028 kangaroo bond on 14 May 2018.
Volume: A$45m
Total outstanding in the line: A$160m
Coupon type: fixed
Coupon rate: 3.25%
Issue/re-offer price: 99.256%
Issue yield: 3.335%
Margin to swap: 50bps/s-q
Margin to ACGB: 55.25bps/November 2028
Maturity date: 18 October 2028
Resimac
Resimac launched its Premier Series 2018-1 prime residential mortgage backed securities transaction on 14 May 2018. It has an indicative total volume equivalent to A$750m, including the USD denominated Class A1 notes.
The Resimac Premier Series 2018-1 indicative price guidance and structure:
| Class | Indicative volume | Expected rating (S&P/Fitch) | Credit enhancement (per cent) | Weighted average life | Indicative price guidance (bps/1m BBSW) |
| A1 | US$210 | AAA/AAA | 10 | 1.8 years | 85-90 area/1m US Libor |
| A2 | A$288.75m | AAA/AAA
| 10 | 2.7 years | 110 area |
| A3a | A$50m
| AAA/AAA
| 10 | 5 years | 3.71 per cent area, equivalent to 135 |
| A3b | A$62.5m
| AAA/AAA
| 10 | 5 years | 135 area |
| AB | A$47.25m
| AAA/NR | 3.7 | 4.5 years | 165 area |
| B | A$11.25m
| AA/NR | 2.2 | 4.5 years
| 185-195 area |
| C | A$7.5m
| A/NR | 1.2 | 4.5 years
| 275-285 area |
| D | A$6m
| BB/NR | 0.4 | 4.3 years
| 575 area |
| E | A$3m
| NR/NR | n/a | 5 years | ND |
Source: KangaNews