Oversea-Chinese Banking Corporation (OCBC) O39 has priced A$1 billion ($892.06 million) worth of senior floating green notes due 2026. The notes were priced under the bank’s US$30 billion ($39.95 billion) global medium-term note programme.
The notes, which are expected to be issued on May 18, will be done by the bank through its branch in Sydney and are expected to be repo (or repurchase agreement) eligible by the Reserve Bank of Australia (RBA).
They will be issued at an issue price of 100.0% and bear interest at the three-month Bank Bill Swap reference rate plus 0.78% per annum (p.a.) and payable quarterly in arrear.
The notes are expected to be rated Aa1 by Moody’s Investors Service, AA- by S&P Global Ratings and AA- by Fitch Ratings.
According to the bank, the net proceeds from the notes will be used to finance or refinance new or existing qualifying assets which meet the eligibility criteria for green bonds under the OCBC Sustainability Bond Framework.
Australia and New Zealand Banking Group Limited, Singapore Branch, (ANZ); National Australia Bank Limited, (NAB); OCBC and Westpac Banking Corporation were the joint lead managers for this issue.
See also: New Key Summary 123
Shares in OCBC closed 2 cents lower or 0.16% down at $12.30 on May 11.
