ANZ Issues New Hybrid ANZ Capital Notes 6

ANZ Issues New Hybrid ANZ Capital Notes 6

ANZ bank will seek to raise AUD $1billion with the offer of a new Additional Tier 1 capital security, ANZ Capital Notes 6 (ANZPI).

It contains a reinvestment offer for ANZ Capital Notes 1 (ANZPD), a Broker Firm Offer and a Securityholder Offer. There is also an institutional offer where certain Institutional Investors would be invited to bid in the Bookbuild.

In its announcement ANZ said the distribution rate will be calculated as the sum of the applicable 3-month BBSW rate plus the margin, together multiplied by (1 – the Australian corporate tax rate, which is currently 30 percent).

The margin will be determined under the bookbuild scheduled for 8 June and is expected to be in the range of 3.00 to 3.20 percent.

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ANZ Capital Notes 6 quarterly distributions are expected to be fully or substantially franked. The offer opens on 9th June 2021.

The closing date for the ANZ Securityholder Offer and the Reinvestment Offer is scheduled for 30 June, 2021.

The new securities will be perpetual, convertible, subordinated, unsecured, redeemable notes. The bank said it will use the proceeds to refinance Capital Notes 1 and for general corporate purposes.

ANZ Capital Notes 1 call date is 1 September 2021.

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Brenton Gibbs
Editorial and Social Media Manager
Brenton is the editorial and social media director of Fixed Income News Australia and responsible for the editorial content development and social media presence of the site. He has written widely across a number of industry platforms including property, tourism, business and education. He is a director and co-founder of communications, content and creative agency RGC Media & Mktng and editorial contributor to MBA News Australia.