Westpac Capital Notes Issue

[Grimy]

Westpac Bank has announced plans to issue a new subordinated capital note - more details early next week. Interest rate may be around 6.50%.
They are expected to have a credit rating of A- from Standard and Poor's.
These will have a set maturity date of 10.5 years; however, Westpac will have the option of repaying these notes under certain conditions after 5.5 years.

I'd like a bit higher rate for Tier 2 capital (unsecured-subordinated) but have done okay in the past with similar issues from ANZ.
Will be interesting to see the final terms when they are released this week.

[Bjauck]

Last year’s issue WNZ1T2 at 6.19% interest rate have done OK considering that interest rates have gone up over the past year. $600m were issued I think.

[Grimy]

This one is $100 million-or as much as they want.....

'Westpac New Zealand Limited (WNZL) is considering making an offer of up to NZ$100 million (with the ability to accept unlimited oversubscriptions at WNZL’s discretion) of unsecured subordinated notes (Notes).'

[Patrick11]

600million have been allocated to brokers. I applied for $7000 hope to not be scaled back.

[Grimy]

Rate set at 6.73%.
I got the amount I applied for, so I doubt you'll be scaled.

[Bjauck]

Rate set at 6.73%.
I got the amount I applied for, so I doubt you'll be scaled.

My application through Jarden was scaled back by 10%. It must have been popular if $600m were allocated in the end.