Westpac raises A$1.5B in Tier 2 notes

What's the deal? WestpacDealroom has a profile for this one. Try Dealroom → has issued A$1.5 billion in Tier 2 subordinated notes, comprising a A$250 million fixed-to-floating tranche and a A$1.25 billion floating-rate tranche. Both are callable and due in August 2036, as part of the bank's debt issuance programme.

Why it matters The notes are structured as regulatory capital under Australia's Basel III framework and are expected to qualify as Tier 2 capital, strengthening Westpac's regulatory position and loss-absorbing capacity. Non-viability provisions allow conversion into ordinary shares or write-off if APRA determines the bank is, or would become, non-viable.

Read more: TipRanks

Image credit: denisbin