COUNTRY REPORT
Australia 23 China 26 Hong Kong 33 India 36 Indonesia 38 Japan 39 Malaysia 40 Maldives 41
New Zealand 41 Singapore 42 South Korea 43 Taiwan 44 Thailand 46 Vietnam 46AUSTRALIA
DEBT CAPITAL MARKETS
› SUNCORP PRICES FLAT TO US CURVE
SUNCORP-METWAY (A1/A+/A+) issued a
US$500m 2.375% three-year 144A/Reg S
bond last Thursday at Treasuries plus 68bp,
7bp inside initial price thoughts.
Bank of America Merrill Lynch, Citigroup,
Deutsche Bank and RBC Capital Markets were
joint bookrunners on the offering, which
attracted an order book of US$900m and
came flat to Suncorp’s US dollar curve after
adding 4bp for the maturity extension
beyond the 2.1% May 3 2019s.
Major peer Commonwealth Bank of
Australia (Aa3/AA–/AA–) priced a US$750m
2.05% three-year 144A/Reg S bond at
Treasuries plus 60bp on September 13 with
the spread subsequently tightening to 49bp.
Suncorp, Australia’s largest non-major
bank, issued a US$500m 2.8% five-year
144A/Reg S senior unsecured bond in April
this year, priced at Treasuries plus 100bp.
In April 2016, it sold a US$500m 2.1%
three-year 144A/Reg S bond 110bp wide of
Treasuries.
› TELSTRA TARGETS US DOLLAR EMTN
TELSTRA, rated A2/A (Moody’s/S&P), has
mandated DBS Bank, HSBC and Mizuho
as joint lead managers for a series of
investor meetings in Tokyo, Hong Kong
and Singapore, starting on Monday, for a
potential US dollar Reg S benchmark bond
offering.
In April this year, the Australian
telecommunications and technology
company raised a then local record-
equalling A$1bn (US$770m) via a three-
tranche corporate bond sale.
In April 2016 Telstra issued a €750m
(US$875m) 10-year Eurobond.› TELSTRA HIRES FOR REG S SENIORTELSTRA has hired DBS Bank, HSBC and
Mizuho Securities as joint lead managers and
bookrunners to arrange meetings with
fixed-income investors in Tokyo, Hong
Kong and Singapore, starting on Monday.
An offering of US dollar Reg S benchmark
senior unsecured bonds may follow, subject
to market conditions.
The Australian telecommunications and
technology company has ratings of A2
(stable) from Moody’s and A (negative) from
S&P.› NAB SETS NEW 2017 TIGHTSNATIONAL AUSTRALIA BANK (Aa3/AA–/AA–)
established new 2017 tights for mid-curve
major bank senior unsecured issuance with
last Friday’s A$2.25bn self-led two-piece
5.25-year bond sale.
The A$1.875bn floating-rate note priced
inside 82bp area guidance at three-month
BBSW plus 80bp.
The A$375m February 10 2023s priced
at 99.744 for a yield of 3.0525%, 80bp wideof asset swaps, to extend this year’s steady
decline in benchmark bank margins.
Back on January 10, CBA paid 111bp
for its A$2.65bn five-year dual-trancher
with the five-year clearing rate narrowing
steadily thereafter to reach 84bp on
October 25 for Westpac’s A$2.25bn print.› SEMIS OPEN ULTRA LONG LINESTwo Australia state governments opened
ultra-long bond lines last week, an
expanding sweet spot for yield hungry
investors, particularly since the AOFM
established a sovereign 30-year benchmark
last October.
On Monday, TREASURY CORPORATION OF
VICTORIA, rated Aaa/AAA (Mood’s/S&P), raisedTop lead managers of Australian dollar-
denominated domestic securitisation,
inc-self-funded transactions ex-CDOs
1/1/17 – 31/10/17
Amount
Name Issues A$(m) %
1 NAB 33 6,833.4 22.7
2 Westpac 26 5,702.0 19.0
3 Macquarie 16 4,077.0 13.6
4 ANZ 13 3,274.2 10.9
5 CBA 13 3,027.7 10.1
6 Deutsche 11 2,845.5 9.5
7 BAML 2 500.0 1.7
8 JP Morgan 2 436.5 1.5
9 Credit Suisse 2 365.8 1.2
10 MUFG 1 325.0 1.1
Total 44 30,071.1
*Market volume and including Kangaroo bonds
Proportional credit
Source: Thomson Reuters SDC Code: AJ5Top lead managers of all Australian debt, inc-
ABS, MBS (ex-self-funded transactions)
1/1/17 – 31/10/17
Amount
Name Issues A$(m) %
1 ANZ 109 21,142.5 16.4
2 Westpac 81 19,009.3 14.7
3 NAB 90 15,801.9 12.2
4 Deutsche 60 13,114.3 10.2
5 CBA 60 12,574.8 9.7
6 UBS 28 7,645.7 5.9
7 Citigroup 23 6,380.3 4.9
8 TD Sec 70 5,438.4 4.2
9 Nomura 51 4,184.1 3.2
10 Macquarie 16 4,077.0 3.2
Total 353 129,261.4
*Market volume and including Kangaroo bonds
Proportional credit
Source: Thomson Reuters SDC Code: AJ3a
Top lead managers of all Australian securitisation,
inc-self-funded transactions ex-CDOs
1/1/17 – 31/10/17
Amount
Name Issues A$(m) %
1 NAB 34 7,318.0 23.3
2 Westpac 26 5,945.6 18.9
3 Macquarie 16 4,077.0 13.0
4 ANZ 13 3,274.2 10.4
5 CBA 13 3,173.9 10.1
6 Deutsche 11 2,926.1 9.3
7 Citigroup 4 616.9 2.0
8 BAML 2 500.0 1.6
9 JP Morgan 2 436.5 1.4
10 Credit Suisse 2 365.8 1.2
Total 45 31,429.9
*Market volume and including Kangaroo bonds
Proportional credit
Source: Thomson Reuters SDC Code: AJ4Top lead managers of Australian dollar-
denominated domestic bonds, inc-Kangaroo bonds,
ex-self-funded transactions, ABS, MBS
1/1/17 – 31/10/17
Amount
Name Issues A$(m) %
1 ANZ 96 17,868.3 18.0
2 Westpac 55 13,307.2 13.4
3 Deutsche 49 10,268.8 10.4
4 CBA 47 9,547.1 9.6
5 NAB 57 8,968.5 9.0
6 UBS 28 7,645.7 7.7
7 Citigroup 21 6,167.3 6.2
8 TD Sec 70 5,438.4 5.5
9 Nomura 51 4,184.1 4.2
10 RBC Capital 54 3,686.0 3.7
Total 309 99,190.3
*Market volume and including Kangaroo bonds
Proportional credit
Source: Thomson Reuters SDC Code: AJ6