Asia-Pacific banks’ debt issuance grew 25% year over year in June, fueled by mainland Chinese and Australian banks seeking to strengthen their capital positions, according to S&P Global Market Intelligence data & analysis.
- The region’s banks raised $24.31 billion in June, compared with $19.39 billion a year ago, according to data compiled by S&P Global Market Intelligence. But June’s figure was down from $27.16 billion in the prior month. Mainland Chinese and Australian banks accounted for over 70% of the capital raised in June.
- Asia-Pacific banks issued nearly $150 billion in bonds in the first half, surpassing $122.48 billion in the year-ago period, driven by increased capital-raising activity from major Chinese, Japanese and Australian lenders, according to S&P Global Market Intelligence data.
- In June, mainland Chinese banks, led by Agricultural Bank of China Ltd., issued seven debt offerings totaling $11.84 billion, according to Market Intelligence data. Agricultural Bank of China’s $8.29 billion additional Tier 1 bond issuance was the largest offering by an Asia-Pacific bank in June. Bank of Tianjin Co. Ltd. issued $1.38 billion in debt, the second-largest transaction by a mainland Chinese lender in June.
- Australia’s four largest banks raised a combined $5.50 billion in debt capital across 12 transactions. Westpac Banking Corp. led with $2.24 billion across three offerings, followed by ANZ Group Holdings Ltd. with $1.22 billion.
- Other notable issuances in the region included Japan’s Mizuho Financial Group Inc., which raised $1.50 billion via two offerings, and The Korea Development Bank, which raised $1.05 billion.
- Please find full analysis here.