DBS had the option of redeeming the perps on Feb 27 or on any distribution date thereafter. If the securities are not deemed, the distribution rate would have been reset on Feb 27 and every five years thereafter to a rate equal to the prevailing five-year US dollar treasury rate at the time plus 1.915% per annum.
DBS Group Holdings says it will elect to and will redeem all of its outstanding US$1 billion 3.3% perpetual securities on Feb 27.
The perps were issued under the bank’s US$30 billion global medium term note programme on Feb 21, 2020, and was first callable in 2025. Buyers of the perps had to purchase them in denominations of US$200,000 and integral multiples of US$1,000 in excess.
