World Bank prices dual tranche AUD bonds totalling A$1.65bn
The World Bank (International Bank for Reconstruction and Development) has priced a long-dated five-year A$1.1 billion and a ten-year A$550 million Sustainable Development Bond.
It represents IBRD’s largest-ever AUD issuance and the largest for the Sovereigns, Supranationals, and Agencies issuer segment in the Kangaroo market in a single outing.
The five-year bond offers a coupon of 0.50% p.a. with an 18 May, 2026 maturity and has an issue price of 99.838 % to yield 0.53% (semi-annual). This equates to a spread of 18.5 basis points over the 4.25% Australian Commonwealth Government Benchmark (ACGB) due April 2026.
The ten-year bond offers a coupon of 1.100% p.a. with an 18 November, 2030 maturity and has an issue price of 99.06% to yield 1.2% (semi-annual). This equates to a spread of 28.1 basis points over the 1.00% ACGB due December 2030.
The joint lead managers for the transactions are ANZ, Nomura, RBC Capital Markets and TD Securities.
