New issues for the period 23 May – 29 May 2018 including: AFDB, BOQ, DBNGP, Pepper, QIC, Rentenbank, Zurich
African Development Bank (AFDB)
AFDB priced an increase to its 2028 kangaroo bond on 22 May 2018.
Volume: A$25m
Total outstanding in the line: A$560m
Coupon type: fixed
Coupon rate: 3.35%
Issue/re-offer price: 100.169%
Issue yield: 3.33%
Margin to swap: 42bps/s-q
Margin to ACGB: 47.25bps/May 2028
Maturity date: 8 August 2028
Bank of Queensland (BOQ)
BOQ priced an upsized A$1bn residential mortgage backed transaction, Series 2018-1 REDS Trust, on 24 May 2018.
| Note class | Tranche volume | Tranche rating | Weighted average life | Margin to swap | Initial credit support |
| A1 | A$920m | AAA/AAA | 2.8 years | 105bps/1m BBSW
| 8%
|
| A2 | A$26m | AAA/AAA | 6.1 years | 120bps/1m BBSW
| 5.4% |
| AB | A$9.4m | AAA/NR | 6.1 years
| 150bps/1m BBSW
| 4.46%
|
| B | A$17.8m | AA/NR | 6.1 years
| 170bps/1m BBSW | 2.68% |
| C | A$13.4m | A/NR | 6.1 years
| 240bps/1m BBSW | 1.34% |
| D | A$6.2m | BBB/NR | 6.1 years
| 330bps/1m BBSW | 0.72% |
| E | A$7.2m | NR/NR | 6.1 years
| 590bps/1m BBSW | N/A |
Source: KangaNews
DBNGP Finance (DBNGP)
DBNGP issued a new, A$350 seven year domestic bond on 22 May 2018.
Volume: A$350m
Total outstanding in the line: A$350m
Coupon type: fixed
Coupon rate: 4.225%
Issue/re-offer price: par
Issue yield: 4.225%
Margin to swap: 150bp/s-q
Maturity date: 28 May 2025
Pepper Group (Pepper)
Pepper issued a new, A$550m residential mortgage backed transaction, I-Prime 2018-1 Trust, on 25 May 2018.
| Note class | Tranche volume | Tranche rating | Weighted average life | Margin to swap | Initial credit support |
| A1-S | A$165m | AAA (S&P) | 0.8 years | 70bps/1m BBSW | 20% |
| A1-L | A$275m
| AAA | 3 years | 120bps/1m BBSW
| 20% |
| A2 | A$66m
| AAA | 3.7 years | 165bps/1m BBSW
| 8% |
| B | A$14.5m
| AA | 3.7 years
| 185bps/1m BBSW
| 5.36%
|
| C | A$11m
| A | 3.7 years
| 270bps/1m BBSW
| 3.36% |
| D | A$7.5m
| BBB | 3.7 years
| 370bps/1m BBSW
| 2% |
| E | A$5m
| BB | 3.7 years | 570bps/1m BBSW
| 1.09% |
| F | A$3m
| B | 3.7 years
| 670bps/1m BBSW
| 0.55% |
| G | A$3m | NR | 4 years
| ND | N/A |
Source: KangaNews
QIC Shopping Centre Fund (QIC)
QIC issued a new, A$200m 5.5 year domestic bond on 28 May 2018.
Volume: A$200m
Total outstanding in this line: A$200m
Coupon type: fixed
Coupon rate: 3.75%
Issue/re-offer price: 99.84%
Issue yield: 3.7825%
Margin to swap: 128bps/s-q
Maturity date: 6 December 2023
Rentenbank
Rentenbank priced an increase to its 2028 kangaroo bond on 24 May 2018.
Volume: A$55m
Total outstanding in the line: A$805m
Coupon type: fixed
Coupon rate: 3.25%
Issue/re-offer price: 99.976%
Issue yield: 3.2525%
Margin to swap: 40bps/s-q
Margin to ACGB: 45.5bps/May 2028
Maturity date: 12 April 2028
Zurich Finance Australia (Zurich)
Zurich issued a new, A$350m five year debut domestic bond on 24 May 2018.
Volume: A$350m
Total outstanding in the line: A$350m
Coupon type: fixed
Coupon rate: 3.477%
Issue/re-offer price: par
Issue yield: 3.477%
Margin to swap: 98bps/s-q
Maturity date: 31 May 2023