Goldman Sachs Plans Biggest Offering of N.Z. Dollar Bonds

Goldman Sachs Group Inc. is planning its largest ever sale of bonds in the New Zealand currency, after peers including Citigroup Inc. and Deutsche Bank AG issued kiwi dollar notes this year.

The U.S. bank is marketing NZ$300 million ($229 million) of senior unsecured five-year notes at a yield of about 120 basis points more than the swap rate, according to a person familiar with the matter who is not authorized to speak publicly. The sale of global notes registered in the U.S. is being managed by Goldman Sachs along with National Australia Bank Ltd. and Toronto-Dominion Bank’s TD Securities unit, with pricing expected today in New York, the person said.

Syndicated bond sales within New Zealand have topped NZ$15 billion this year and are running at the fastest pace on record, data compiled by Bloomberg show. International Bank for Reconstruction & Development in June priced NZ$800 million of securities in the largest ever Kauri bond transaction and has raised NZ$1.95 billion in New Zealand this year. Citigroup last month sold NZ$300 million of five-year global notes outside the New Zealand market at a 100-basis-point spread.

Previous kiwi note sales from Goldman Sachs were for NZ$20 million or less, according to data compiled by Bloomberg.

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