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CBA bond issue boosts Aussie banks' funding options

Auction seen as successful, attracting three times the amount the bank wanted to raise

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CBA had first flagged it would offer 1.75 per cent over US Treasuries for the bond, but cut that to a 1.53 per cent spread after receiving high demand from yield-hungry investors.

Sydney

COMMONWEALTH Bank of Australia (CBA) has raised US$1.25 billion in 30-year subordinated debt in the United States in a successful auction that fund managers said on Thursday could encourage other Australian banks to follow suit.

Australia's...

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