Australia 2032 Bond Syndication Prices at 12.5bps Over 10yr Futures

By Sophia Rodrigues

Published On 13 Apr 2021 , 09:37 AM

Pricing for The Australian government's 1.75% 21 November 2032 bond issue has been set at +12.5bps, and the orderbook is at A$46.5 billion. The indicative yield at this price is 1.88%.

The book will close at 10AM Sydney time.  

The bond was launched on Monday via syndication with a price guide of 10.5bps to 13.5bps over the implied bid yield for the 10-year futures contract, and was later tightened to 11bps-13bps.

AOFM will decide the issue size later Tuesday. Settlement is next Tuesday, 20 April 2021. Commonwealth Bank of Australia, Deutsche Bank, UBS AG Australia Branch; and Westpac Banking Corporation are joint lead managers for the issue.

The AOFM’s November 2031 bond syndication in August last year was priced at 9bps over the 10-year futures and had attracted orderbook of A$66.1 billion at the clearing price. The issue size was finalized at A$21 billion.

(This snippet was first published at 9:27 AM)

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