HSBC launches Australian dollar bond deal, attracts over $2.5 billion in orders

SINGAPORE, May 19 (Reuters) - HSBC Holdings has launched ​a ‌benchmark Australian dollar bond sale offering six-year and 11-year senior unsecured ⁠notes, according to a term sheet reviewed by ⁠Reuters.

* The final size ​of the deal had not been set, but orders have reached more than A$3.45 billion ($2.5 billion), including A$80 million from joint lead managers, ​according to ‌an updated note sent after the term sheet.

* Demand stood at more than A$1.24 billion for the six-year floating-rate notes, more than A$1.18 billion for the six-year fixed-to-floating notes and more ​than A$1.035 billion for the 11-year fixed-to-floating notes, the update said.

* ‌The six-year notes include a floating-rate option and a fixed-rate option that later switches to a ‌floating rate. The 11-year notes start with a fixed rate and later switch to a floating rate.

* Price guidance remains unchanged at ​about 135 basis points over the relevant benchmark for the six-year notes. The fixed-rate ‌six-year notes have an indicated yield of 6.10%.

* The 11-year notes are being marketed at about 170 basis points over the benchmark. ⁠They ⁠have an indicated yield of 6.68%.

* HSBC plans ‌to use the proceeds for general corporate purposes. The deal is expected to ​price later ​on Tuesday in Sydney.

* ANZ, CBA, HSBC, Mizuho , ‌NAB and Westpac are joint lead managers.

* HSBC did not immediately respond to an email seeking comment.

HSBC Holdings