DBS Group Holdings Ltd. priced A$750 million of floating-rate subordinated notes.
The notes are due in 2028 and will be issued under the bank's US$30 billion global medium-term note program, according to a March 8 release. The move is also DBS Group's first Australian dollar-denominated Tier 2 capital issuance.
The notes will bear a coupon of 1.58% above the three-month Bank Bill Swap reference rate, and are expected to be issued March 16.
DBS Group plans to use the net proceeds from the issuance for finance and treasury activities, including the provision of intercompany loans.
DBS Bank Ltd. is the global coordinator of the exercise while National Australia Bank Ltd. is the structuring adviser. The two banks, along with Commonwealth Bank of Australia and Westpac Banking Corp., are joint lead managers.
