New capital notes offers in Australia are locking out retail shareholders from bank hybrid rollovers unless they are ‘sophisticated’ or wholesale investors under new Federal legislation provisions. The legislation introduced targeted and principles-based design and distribution obligations in relation to financial products. The obligations require issuers and distributors to have...
The Commonwealth Bank on Tuesday launched a new Capital Notes offer, CBA Capital Notes PERLS XIV. PERLS XIV will qualify as Tier 1 Capital of CBA and will seek to raise $750 million and be used to fund CBA’s business. The offer is expected to trade on the ASX under...
The Australia and New Zealand Banking Group has announced that it is seeking to raise $1 billion through the offer of ANZ Capital Notes 7. The notes are fully paid, non-cumulative, convertible, transferable, redeemable, subordinated, perpetual, unsecured notes issued by ANZ. The offer includes a Reinvestment Offer under which eligible Capital...
Investment management firm Daintree Capital today launched its Hybrid Opportunities Fund, a new global bank hybrid fund that is the first single unit fund of its kind in Australia. The Daintree Hybrid Opportunities Fund invests in a diversified global portfolio of 25-125 hybrid bank securities including Bank of America, Credit...
Ahmed Fahour’s Latitude Financial (ASX:LFS) is raising funds to fuel growth opportunities by raising about $125million through issuing perpetual, subordinated, unsecured capital notes.  The non-bank lender anticipates paying quarterly, floating rate discretionary distributions, which are cumulative. Latitude expects distributions to be franked at the same rate as dividends on LFS’s...
Westpac Banking Corporation has announced the offer of Westpac Capital Notes 8 which is a new additional Tier 1 capital instrument. The bank is looking to raise AUD$1billion which will help it maintain its requirements under the APRA capital adequacy framework.  The offer opening date is 25 August 2021 and will...
Macquarie Bank (ASX:MBL) has now opened its offer for Macquarie Bank Capital Notes 3 (BCN3). The offer is expected to close on Tuesday 24th August 2021. BCN3 securities are perpetual, unsecured, convertible, non-cumulative and subordinated notes. BCN3 are mandatorily convertible to MGL ordinary shares on 8 September 2031. There is...
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...
Due to an uncertain operating environment, Crown Resorts has announced that it will not be redeeming the Crown Subordinated Notes II (CWNHB) at the 23 July 2021 call date. The unsecured notes issued by Crown have a total outstanding principal of $630 million.  Crown said in its update to the market...
Back in February, National Australia Bank repurchased its perpetual NABHA $2 billion hybrid and since then others have followed. The latest is Challenger, offering $102 for its CGFPA securities, cleaning up the $47.5 million still outstanding. The offer is open to investors on the register at 22 April 2021 and...

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