Tuesday 28 January 2014 by Elizabeth Moran Company updates

Bendigo and Adelaide sub-debt proving popular - now available to retail investors

Last week Bendigo and Adelaide Bank launched a $250m subordinated, floating rate note issue in the wholesale market. As of today, the bond is available through FIIG to retail investors from $10,000 as part of a minimum $50,000 investment.

Demand for the bond was strong with it being oversubscribed 2.5 times and Bendigo upsized the issue to $300m. The margin of 280bps available to wholesale investors in the primary market has contracted but we still consider it good relative value paying BBSW +233bps, with an implied yield of 5.96%.

For more information please see last week’s WIRE article or call your local dealer.

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