By Cristal Cody
Chicago, Aug. 5 – Westpac Banking Corp. sold $1 billion of 5.405% subordinated notes (Baa1/BBB+/A-) with an 11-year tenor on Wednesday, according to an FWP filing with the Securities and Exchange Commission.
The interest rate will reset in the final year to the one-year Treasury rate plus 268 basis points.
The notes priced at par, or at a spread of 268 bps over Treasuries. Price talk was in the 295 bps area.
The notes are redeemable at par on the reset date.
Upon the occurrence of a non-viability trigger event, the notes are subject to conversion or possible write-off.
BofA Securities, Inc., Citigroup Global Markets Inc., Morgan Stanley & Co. LLC and Westpac Banking Corp. are the bookrunners.
The Sydney, Australia-based bank plans to use the proceeds for general corporate purposes.
| Issuer: | Westpac Banking Corp.
|
| Amount: | $1 billion
|
| Issue: | Subordinated notes
|
| Maturity: | Aug. 10, 2033
|
| Bookrunners: | BofA Securities, Inc., Citigroup Global Markets Inc., Morgan Stanley & Co. LLC and Westpac Banking Corp.
|
| Co-managers: | ICBC Standard Bank plc and Scotia Capital (USA) Inc.
|
| Trustee: | Bank of New York Mellon
|
| Counsel to issuer: | King & Wood Mallesons and Debevoise & Plimpton LLP
|
| Counsel to underwriters: | Sidley Austin LLP
|
| Coupon: | 5.405% starting rate; resets Aug. 10, 2032 to Treasuries plus 268 bps
|
| Price: | Par
|
| Yield: | 5.405%
|
| Spread: | Treasuries plus 268 bps
|
| Call features: | At par on Aug. 10, 2032
|
| Trade date: | Aug. 3
|
| Settlement date: | Aug. 10
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB+
|
| Fitch: A-
|
| Distribution: | SEC registered
|
| Cusip: | 961214FG3
|
| Price talk: | Treasuries plus 295 bps area
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
