A significant number of Australian and New Zealand companies accessed the US capital markets in 2013, though fewer than in recent years.
We have identified 58 US debt and equity offers that were completed by Australian and New Zealand companies in 2013. The median amount of these global offers was $300 million.
The number of debt and equity offers completed by Australian and New Zealand companies in the United States over the past five years was as follows:
While US market conditions remained buoyant in 2013, the number of debt offers decreased significantly, in part due to some investment grade issuers turning to a growing Australian domestic bond market. The number of issuers declined from 9 to 3 in the Rule 144A investment grade market and from 18 to 15 in the US Private Placement market in 2013. In contrast, the number of issuers in the SEC-registered investment grade and Rule 144A high yield bond markets remained steady while the number of Term Loan B issuers doubled to 4 in 2013.
While the number of US equity offers declined 15% in 2013, conditions for IPOs improved significantly, with 5 IPOs including a US tranche in 2013 compared to none in 2012. There was also a significant number (5) of block trades by selling security holders in 2013.
Non-"bulge bracket" North American investment banks continued their focus on secondary equity offers for small and mid-size resources companies, acting as lead manager on 5 (or 50%) of such transactions in 2013.
US Capital Markets
2 Legal Alert | February 2014
The following is a link to a chart that summaries the 2013 US debt and equity offers by Australian and New Zealand companies. Please note that the "Estimated Amount of Global Offering" column on the chart reflects the total amount sold globally and not just the amount sold in the United States. The chart excludes commercial paper and medium-term note programs as well as structured finance.
Baker & McKenzie has a unique "one stop shop" capability, offering US, International and Australian law advice under one roof in Australia. This enables us to advise Australian companies on raising capital offshore in a more cost-efficient and convenient manner than hiring separate law firms.
For further information please contact
US lawyer Australian registered foreign lawyer +61 2 8922 5436 andrew.reilly @bakermckenzie.com
Sydney Level 27, AMP Centre 50 Bridge Street Sydney, NSW 2000 Australia
Tel: +61 2 9225 0200 Fax: +61 2 9225 1595
Melbourne Level 19 181 William Street Melbourne, VIC 3000 Australia
Tel: +61 3 9617 4200 Fax: +61 3 9614 2103
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