HBOS and CBA leap at window of opportunity

The first subordinated capital issue from a UK bank since September hit the screens this morning. HBOS is marketing a benchmark tier one perpetual non-call 10 year issue via BNP Paribas, Royal Bank of Scotland and UBS at 450bp over mid-swaps. Meanwhile, Australian banks are still active. Commonwealth Bank of Australia is marketing a three year sterling trade at 195bp over Gilts, 95bp over Libor. To find out what shape the sterling market is in, read EuroWeek this week.