Suncorp Bank has moved to strengthen its balance sheet with a $750 million five-year senior unsecured debt transaction, priced at three-month BBSW plus 138 basis points.
The $750 million Suncorp debt issuance consisted of $600 million floating rate and $150 million fixed rate bonds with a five-year maturity, according to a statement by the bank.
The transaction was jointly led by Commonwealth Bank of Australia, National Australia Bank, RBC Capital Markets and UBS Investment Bank.
Suncorp Bank chief financial officer David Carter said this was Suncorp Bank's first domestic senior unsecured term transaction into the Australian market for 2016.
“Suncorp Bank, supported by its A+ credit rating, is in a strong position to access a diverse range of funding sources to support sustainable, profitable growth for the bank,” Mr Carter said.
“We’re really pleased to have attracted such strong investor interest for this issue, both domestically and offshore.
“In an environment of heightened market volatility, we’re also appreciative of the solid appetite for a five-year issuance,” he said.
“In total, 73 investors participated in the transaction with an order book exceeding A$900 million, including 16 investors in the fixed rate tranche with good support, particularly from the offshore market on this front.”
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