National Australia Bank Ltd. priced A$500 million of additional Tier 1 capital, closing a first-ever Basel III unlisted hybrid deal by a major bank in the country, The Australian Financial Review's Street Talk reported Dec. 5.

The Basel III hybrid was priced at a spread of 375 basis points above the swap rate, with a call date of 10 years. National Australia Bank was the sole arranger for the capital raise, the report added.

Street Talk also reported that the lender launched and issued a C$1 billion Tier 2 subordinated bond to Canadian investors Dec. 5. The bank is raising capital to meet its new total loss-absorbing capacity targets that the Australian Prudential Regulation Authority set in July.