Rentenbank

The Kangaroo market is expected to remain active throughout this week as Rentenbank considers a tap of long dated paper. At least two other issuers are also considering selling Aussie dollar debt, according to syndicate bankers.

Land NRW was the only issuer out with a benchmark mandate on Monday afternoon as SSA Markets went to press, but a few more issuers are waiting in the wings to pull the trigger before new issue markets begin to shut down ahead of year end.

Read this week's funding scorecard to see which European supranationals and agencies are nearly done for the year, and which have already begun prefunding.

A pair of euro benchmarks in the belly of the curve fell short of full subscription on Tuesday, as a combination of tight pricing and the arrival of the European Stability Mechanism’s second ever benchmark on the same day served to dampen investor demand.

A pair of German agencies mandated for euro benchmarks this week ahead of an expected 10 year syndication from the European Stability Mechanism.

Read this week's funding scorecard to see which European supranationals and agencies are nearly done for the year, and which have room for another benchmark.

Rentenbank and the Inter-American Development Bank both sold Kangaroo debt on Wednesday, with Renten pricing long 10 year bonds and IADB choosing to sell five year debt. Both deals hit their minimum targets, but were unable to grow beyond that level with many investors waiting on the sidelines ahead of an anticipated increase in yields.

Plenty of SSA issuers took a big bite out of their funding targets in the short window of issuance between the end of the summer and this week's FOMC meeting. Here we provide updated figures on selected European supranationals and agencies.

Rentenbank has made its first foray into the world of socially responsible securities, printing a €50m seven year renewable energy bond on Monday — and declaring itself open for more.

Ahead of an expected flood of issuance kicking off in the last week of August, here are the updated funding scores for selected European supranational and agency borrowers.

A golden opportunity to lock in cheap duration funding over the summer may go begging if SSA borrowers ignore the Kangaroo market, said senior SSA bankers. A growing bid from Japan for long-dated paper and the biggest month for Kangaroo bond redemptions since 2011 is set to leave a bumper bundle of cash looking for a place to be invested.

Syndicate bankers are predicting a lively August for the Kangaroo market, with a high volume of redemptions freeing up investor cash and a stabilising currency buoying sentiment. Rentenbank was the first SSA name to move this week, tapping January 2023 notes on Tuesday. Kommunalbanken has also mandated banks for a tap of 10 year debt, expected to be priced on Wednesday.