Gilbert + Tobin advise on Westpac $900 million tier 1 hybrid
Gilbert + Tobin has advised Westpac Banking Corporation (Westpac) on its $900 million offer of non-innovative tier 1 hybrids in conjunction with the redemption of existing St.George Bank
Gilbert + Tobin has advised Westpac Banking Corporation (Westpac) on its $900 million offer of non-innovative tier 1 hybrids in conjunction with the redemption of existing St.George Bank hybrids.
To continue reading the rest of this article, please log in.
Create free account to get unlimited news articles and more!
The offer was initially issued to raise $700 million, but was structured to allow the bank to raise a greater or lesser amount. According to the bank, the offer was increased to $900 million due to strong demand.
Partners Janine Ryan and John Williamson-Noble led the transaction and were assisted by corporate transactions lawyer Nic Wright.
"The Westpac Stapled Preferred Securities II (Westpac SPS II) are expected to pay fully franked, non-cumulative, floating rate quarterly distributions. They are stapled securities consisting of a perpetual, unsecured, non-cumulative subordinated note and a preference share", Ryan said.
"The offer was complex because it consisted of a reinvestment offer to St.George hybrid holders, an offer made to former holders of St.George SAINTS and an offer to Westpac security holders and institutions", Williamson-Noble said.