OCBC sells largest Basel III bond in Asia ex-Japan

The Singaporean bank raised a $1 billion 10.5-year Basel III-compliant bond to help fund its expansion and replenish old-style debt.

Oversea-Chinese Banking Corporation sold a $1 billion 10.5-year Basel III-compliant Tier 2 bond on Tuesday, illustrating the Singapore bank’s ongoing push to boost its capital in order to fund its growth and replenish maturing old-style subordinated debt.

OCBC's new bond   callable in year 5.5 is the largest Basel III-compliant dollar deal and the first-ever bank capital transaction in the 144A market in Asia ex-Japan, according to Dealogic.

The note forms part of OCBC's strategic funding plans, analysts said.

“We are seeing that banks in Singapore are pursuing relatively rapid growth strategies,” Eugene Tarzimanov, senior credit officer at Moody’s, told...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222