CEB issues AUD 650m 4.600% Social Inclusion Bond Benchmark due January 2031

On Wednesday 14th January 2026, the Council of Europe Development Bank (CEB), rated Aaa/AAA/AAA (all stable), priced a new AUD 650m 5-year Social Inclusion Kangaroo benchmark due 21 January 2031.

Highlights

• The CEB took advantage of the strong January demand dynamics of the SSA Kangaroo primary markets pricing the largest Kangaroo benchmark in the issuer’s history.
• The transaction also achieved the largest ever orderbook for the CEB in the Kangaroo market with a final orderbook of AUD 1 billion (including AUD 220 million JLM interest).
• This transaction also marks CEB’s third AUD Social Inclusion Bond in syndicated benchmark Kangaroo format and follows two successful GBP and USD benchmark transactions this year – a testament to the credit’s appeal to investors globally.
• The success cements the strategic investor engagement efforts in the currency and Australia, reaching 23.2% of domestic demand and engaging the broadest pool of investors for a CEB Kangaroo transaction to date. Allocations were diverse across regions and investor types.
• With this trade, CEB establishes a new 5-year reference point to the curve continuing to build out the presence as a regular and liquid issuer in the AUD market.
• The Joint Lead Managers on the transaction were Commonwealth Bank of Australia, J.P. Morgan and Nomura.
• CEB Social Inclusion Bond issuances now total close to EUR 15 billion since their inauguration in 2017.

Deal details

• The new Kangaroo Social Inclusion benchmark was announced to the market on Tuesday 13th January at 12:51h SYD with indicative pricing of ASW +40bps area.
• The trade was immediately met with demand from high-quality accounts, with books standing in excess of AUD 942 million (including AUD 220 million JLMs) at the first book update the following morning at Sydney open.
• Price guidance remained unchanged at ASW+40bps area, while books were set to be expected to close at 12:30h SYD / 09:30h HK / 10:30h TKY.
• A few hours later at 12:32h SYD the second book update was shared with demand in excess of AUD 1.05 billion (including AUD 220 million JLMs) with minimum deal size communicated at AUD 500 million with scope for upsize and spread set in line with price guidance.
• Final orderbooks closed with AUD 1 billion demand (including AUD 220m JLMs) and final deal size was set at AUD 650 million.
• Finally, at 15:01 SYD, the new AUD 650 million SIB Kangaroo deal was priced. The deal pays a coupon of 4.600%, with a reoffer price and yield of 99.837% and 4.637% respectively.
• Allocations wise, Asia based investors took the lion’s share with 38.5% of allocated demand, followed by EMEA (37.5%) and Australia (23.2%). Investor quality was very high and broadly distributed with Banks taking 46.2%, Fund Managers, Insurers and Pension Funds accounting for 40.9% followed by CB/OIs (12.9%).

Distribution statistics

By geography
Asia: 38.5%
EMEA: 37.5%
Australia: 23.2%
Americas: 0.8%

By investor type
Banks: 46.2%
FM/Ins/Pens: 40.9%
CB/OI: 12.9%

For full technical details of the transaction, please click here.