Aussie credit unions bond together via ABN deal
In a market first, a group of 21 credit unions issues A$100 million in Tier 1 and Tier 2 capital securities via ABN AMRO.
Proving that small financial institutions can tap the capital markets, a group of Australian credit unions has banded together to issue A$50 million in Tier 1 preference shares and A$50 million in 10-year subordinated debt instruments.
Lead manager and sole bookrunner ABN AMRO took two years of regulatory wrangling to bring the transaction to market and is calling it a first for Australia.
The 21 credit unions created two special purpose vehicles to act as issuing entities and then sold...
To continue reading, please login or register for free