Five-year debt suits ANZ and Morgan Stanley
The past week saw some kind of symmetry, perhaps even coordinated as part of a routine currency swap, as ANZ tapped the US private placement market, while Morgan Stanley issued bonds in the Australian market.ANZ's note issuance was the largest, with the bank selling US$1 billion of five-year notes, via private placement, at a spread of 120 basis points over US Treasuries.Morgan Stanley's issue of A$850 million of March 2016 global bonds at margin was around 237 basis points over the 2016 Australian government bond.In New Zealand, Rabobank issued NZ$175 million of five-year bonds at 107 basis points over swap. AMP priced A$200 million of fixed-rate notes due March 2015 at 155 basis points over swap.In a still relatively rare securitisation, Macquarie Equipment Finance sold US$342 million of bonds in three tranches.In smaller local issuance, Mirvac Group increased the outstanding on its eight per cent September 2016 medium-term note by issuing an additional $25 million notes at a spread of 240 basis points over swap.Among Kangaroos, Swedish finance co-operative Kommuninvest issued $200 million of March 2014 floating rate bonds at 42 basis points over swap.Possible issues in the near term could include Envestra, which is reported to be talking to investors about a $250 to $350 million issue to refinance bank debt, and for capital expenses. The company has indicated it is planning a long-term bond issue and a new $100 million bank facility during mid-2011. It has plans to spend $125 million on capex in 2011.