Australia Sets New Record for Single Govt Bond Issue
Published on
13 May 2020, 02:29 PM
By Sophia Rodrigues
The Australian government has created a new record for a single bond issue less than a month after breaking its previous record, attracting record bids and selling a record of A$19 billion of bonds.
The Australian Office Of Financial Management issued A$19 billion of 21 December 2030 bonds after receiving record bids of over A$53.5 billion. It is unclear if the entire bids was at the clearing price.
The bond was priced at a spread of 8bps over the implied bid for the 10-year futures. That works out to a yield to maturity of 1.025%
ANZ, Citigroup, CBA and UBS were Joint-Lead Managers for the issue.
The issue size of A$19 billion has beaten previous record of A$13 billion reached on April 15 when AOFM issued 0.25% November 2024 bond via syndication.