The Kangaroo market has opened strongly in 2010 with many of KBN’s supranational and agency peers already actively issuing in the market. With a positive market backdrop and continued appetite from domestic and international investors, KBN made the decision to re-open its 2014 bond, which was originally launched in October 2009. Click
here for more details of the original trade.
The re-opening, which was joint led by ANZ and Nomura, was re-offered at a spread of 102bps over the corresponding Australian Government Bond, corresponding to a level of 55bps over swaps.
The new Kangaroo takes take the outstanding notional on the October 2014 issue to AUD 625 million and KBN’s total outstanding Kangaroo issuance to AUD 1.525 billion. In line with much of the Kangaroo issuance over previous weeks, KBN’s deal was driven by good domestic interest from banks and asset managers, but also from a broad range of central banks, official institutions and other real money accounts across the globe.
As a result, across the 20 tickets in the book, 48 per cent of the deal was placed with domestic investors, 32 per cent in Asia and the remainder to the EMEA region.
To view KBN's curve in AUD, click
here.