› GPT INTRADAY TRADE NETS A$200M
GPT FUNDS MANAGEMENT, rated A– (S&P), raised
A$200m, double the indicative minimum
issue size, for last Thursday’s 6.5-year MTN
offering via joint lead managers ANZ and
CBA.
The 2.525% January 12 2026s priced at
par, 10bp inside 140bp area guidance at
asset swaps plus 130bp.
The issuing entity of GPT Wholesale
Office Fund No 1 previously issued a
A$200m 4.52% 10-year MTN in February
2017, following a debut A$150m seven-year
print in May 2015.
GPT Wholesale Office Fund provides
investors with exposure to high-quality
office assets in Australia’s major markets.› BOC AVIATION EMTN GARNERS A$200MBOC AVIATION, rated A–/A– (S&P/Fitch), the
aircraft-leasing subsidiary of Bank of China,
issued an Australian dollar Eurobond last
Thursday via sole lead manager Westpac.
The A$200m 3.15% 10-year EMTN priced
at 99.679 for a yield of 3.188%, 5bp inside
178bp guidance at mid-swaps plus 173bp.
BOC Aviation has an outstanding
A$200m 5.375% January 24 2020 Eurobond
which matures in six months.STRUCTURED FINANCE
› PEPPER PLACES AUTO ABSConsumer lender PEPPER GROUP issued its
first auto securitisation last Wednesday,
the A$511.6m (US$359m) PEPPER SPARKZ TRUST
NO.1, which is backed by prime auto and
equipment loans originated bt Pepper Asset
Finance.
The privately placed Reg S master trust
offering attracted good demand from
Australian, Asian and European fund
managers, headed by a couple of key
investors, according to a banker on the deal.
Merrill Lynch International was arranger andBNPP stuns with Aussie AT1 first
Bonds French bank finds hot demand for debut offering from foreign bankBNP PARIBAS (Aa3/A+/AA–) secured
astonishing price traction last Wednesday
for the first Australian dollar AT1 note from a
non-Australian bank.
Having taken indications of interest in
the morning in the 5.25% area, guidance
was tightened to 5.00% area and finally to
4.500%–4.625% before pricing at the tight
end of this range.
The A$300m perpetual non-call 5.5-
year Additional Tier 1 Reg S note offering
attracted huge demand, including an order
book in excess of A$3bn when guidance was
5.00%, that reflects the continuing search
for yield in an increasingly low interest rate
world.
A source close to the proceedings said
the deal was opportunistic and driven by
enquiries from private bank clients withAustralian dollar funds to deploy and a desire
for yield.
A 25bp cut in the Reserve Bank of
Australia cash rate a day earlier, to a record
low 1.0%, and the prospect of further
easing to come, amplified the risk-on tone,
according to a lead manager on the trade.
Asian investors were predominant with a
66% allocation while Australians bought 27%
and EMEA 7%.
Private banks took 65%, asset managers
19%, banks 9% and others 7%.
In addition to obvious diversification
benefits, pricing was compelling from an
issuer’s perspective given that the 5.25%
area IOIs were flat to BNP Paribas’ US$1.5bn
6.625% perpetual non-call five AT1 notes
issued in March.
Australian dollar investors’ appetite forforeign bank paper had been seen in a recent
wave of deals, with Societe Generale pricing
a 15-year non-call 10 Tier 2 at 4.5% in April,
Credit Agricole selling a 15-year non-call
10 Tier 2 at 4.2% the following month, and
Barclays and Standard Chartered finding
strong responses to holdco Kangaroos in
June.
BNP’s result can only encourage other
foreign financials to look to the Australian
dollar market for some of their capital
needs.
The subordinated note has expected
ratings of Ba1/BBB–/BBB– against BNP
Paribas’ senior ratings of Aa3/A+/AA–.
Nomura and Westpac were global
coordinators and joint bookrunners with ANZ,
CBA, NAB and TD Securities.
JOHN WEAVERS, DANIEL STANTONTop lead managers of Australian dollar-
denominated domestic securitisation,
inc-self-funded transactions ex-CDOs
1/1/19 – 30/6/19
Amount
Name Issues A$(m) %
1 Westpac 9 4,433.0 27.0
2 NAB 15 2,846.3 17.3
3 ANZ 7 2,837.1 17.3
4 CBA 10 1,811.5 11.0
5 Macquarie 6 1,049.2 6.4
6 Deutsche 4 761.3 4.6
7 MUFG 2 550.0 3.4
8 UOB 3 523.1 3.2
9 Standard Chartered 3 513.4 3.1
10 BAML 1 262.4 1.6
Total 20 16,439.5
*Market volume and including Kangaroo bonds
Proportional credit
Source: Refinitiv data SDC Code: AJ5Top lead managers of all Australian debt, inc-
ABS, MBS (ex-self-funded transactions)
1/1/19 – 30/6/19
Amount
Name Issues A$(m) %
1 Westpac 40 10,267.2 17.5
2 ANZ 38 7,815.1 13.3
3 NAB 41 7,075.3 12.0
4 CBA 34 6,339.4 10.8
5 Deutsche 20 3,954.2 6.7
6 Nomura 30 3,665.3 6.2
7 TD Sec 34 3,646.2 6.2
8 UBS 12 3,329.6 5.7
9 Macquarie 9 1,512.8 2.6
10 JP Morgan 9 1,377.4 2.3
Total 158 58,850.6
*Market volume and including Kangaroo bonds
Proportional credit
Source: Refinitiv data SDC Code: AJ3a
Top lead managers of all Australian securitisation,
inc-self-funded transactions ex-CDOs
1/1/19 – 30/6/19
Amount
Name Issues A$(m) %
1 Westpac 10 4,538.4 25.8
2 NAB 16 2,951.6 16.8
3 ANZ 7 2,837.1 16.2
4 CBA 11 1,916.8 10.9
5 Macquarie 6 1,049.2 6.0
6 Deutsche 4 761.3 4.3
7 Citigroup 3 669.3 3.8
8 Standard Chartered 4 593.3 3.4
9 MUFG 2 550.0 3.1
10 UOB 3 523.1 3.0
Total 21 17,563.0
*Market volume and including Kangaroo bonds
Proportional credit
Source: Refinitiv data SDC Code: AJ4