Australia’s third largest lender Commonwealth Bank of Australia has issued THB4 billion (US$118m) bonds, helping it to save on its funding costs and diversify its investor base.
 Stephen Jaggs, Allen & Overy |
The offer is the first Baht-denominated bond issued by an Australian bank in the Thai market and the first by any foreign corporation since September 2008.
The bonds, which are listed with the Thai Bonds Market Association, were split equally into two tranches of four year maturity and seven year maturity. Standard & Poor’s assigned the bonds a ‘AA’ rating and Moody’s assigned them ‘Aa1’.
CBA turned to Allens Arthur Robinson for Australian law matters and the firm’s associated firm in Bangkok Siam Premier International Law Office for Thai law matters. An Allen & Overy team, led by partner Stephen Jaggs [pictured], advised lead manager HSBC.
The Siam Commercial Bank PCL acted as bondholders’ representative and Thailand Depository Company was appointed registrar.