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DBS to issue A$700m of senior unsecured floating-rate notes due 2022

DBS Bank Ltd, acting through its Australia branch, has priced a three-year medium-term note issue, offering A$700 million (S$660.7 million) of senior unsecured floating rate notes due Sept 13, 2022.

The notes are expected to hold investment grade ratings, with ratings agencies Moody's and Fitch expected to award the notes Aa1 and AA- ratings respectively.

The notes, which fall under the DBS Group Holdings and DBS Bank's US$30 billion global multi-currency medium-term note programme, were priced at par, and pay a coupon consisting of the three-month Bank Bill Swap reference rate (BBSW) plus a spread of 63 basis points. The coupon is paid quarterly and resets every quarter at the three-month BBSW plus 63 basis points.

The BBSW is an Australian short-term money market interest rate, generally used as a reference rate to price Australian-dollar denominated financial instruments.

The notes are expected to be issued on Sept 13, DBS said.

sentifi.com

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