The Bank of New York and Trust Company of Australia Ltd. (Trust) have announced a definitive agreement to form a joint venture that will provide securitization trustee and other agency-related services to Australian-based issuers of debt.
The new company will leverage Trust's strong local infrastructure and market presence and The Bank of New York's global experience and expertise in providing a wide range of trustee and agency services.
The Bank of New York, a global leader in securities services and the market leading trustee for new debt issues globally, already provides securitization trustee and agency services to Australian issuers for their offshore residential mortgage-backed securities offerings. Trust is an Australian financial services firm specializing in trustee and fiduciary services. Trust is Australia's largest property and infrastructure custodian, and a leading player in the securitization market.
The joint venture, which will be based in Sydney, will begin operating in early June 2005.
Steven Hodgetts, managing director and head of the Global Trust Services group for The Bank of New York, said, "This joint venture presents The Bank of New York with a significant opportunity to expand our footprint in Australia and to capitalize on the sizeable growth potential in the securitization market across a variety of asset classes. With Trust's excellent reputation in Australia and the complementary nature of our two businesses, we are confident that the joint venture will deliver a service offering that provides meaningful value to issuers across the country."
Trust's managing director, Jonathan Sweeney, said the joint venture will allow both parties to capture increased market share and take advantage of the emerging asset classes in securitization.
"Trust is delighted to work with The Bank of New York as a way to expand our business opportunities in Australia. With our established client relationships and the Bank's global presence and IT systems, we will offer a unique and powerful offering that will be highly attractive to clients," Mr. Sweeney said.