New Zealand remains the focus for DCM action 22 June 2015 3:31PM Philip Bayley New Zealand was again the location of most domestic corporate bond market activity with two new issues placed, a tap of an SSA line and the listing on the NZX Debt Market of a new retail bond issue. The Warehouse Group (not rated) started the week with the listing of its NZ$125 million five-year bond issue. The bonds will pay a coupon of 5.3 per cent. The bookbuild was completed in May. Fonterra Cooperative Group (rated A) sold NZ$100 million of ten-year bonds, priced at 105 basis points over the bank bill swap rate. This is the longest dated domestic issue yet from Fonterra, although it has a ten-year bond issued in Australia and there is a 15-year bond outstanding in the Euromarket. Goodman Property Trust sold NZ$100 million of seven-year bonds via GMT Bond Issuer Limited (rated BBB+). The bonds were priced at 125 bps over swap, to yield five per cent and will be listed on the NZX Debt Market. International Finance Corporation (rated AAA) added NZ$200 million to its May 2020 line, taking the total outstanding to NZ$625 million. This is the second tap of the line that was opened in May 2013, and was priced at 51 bps over New Zealand government bonds to yield 3.675% per annum. Banking Day needs to correct a comment made last week. ANZ New Zealand's NZ$835 million of bonds issued in 2008, is not largest single tranche of bonds issued in New Zealand. This distinction actually goes to Rabobank NV, which made a NZ$900 million tier one capital issue in September 2007.Also the ANZ New Zealand issue is not tier one capital, as stated. It is an upper tier two perpetual hybrid, according to its Bloomberg description. In the Australian market, FIIG Securities started the week with an announcement of a new unlisted, unrated two-tranche bond issue for SCT Logistics. KfW (rated AAA) added A$100 million to its February 2025 line, priced at a spread of 58 bps over commonwealth government securities. The total outstanding in the line is now $1.3 billion. Offshore, Fonterra was selling the equivalent of NZ$230 million of Dim Sum bonds at the same time as it was selling bonds at home. The CNY1 billion of five-years bonds will yield four per cent. And Westpac (rated AA-) was active in the Uridashi market, raising A$44.6 million and US$83.5 million for five years, at yields of 2.99 per cent and 1.4 per cent respectively.