Amount: $350m preference shares
Issue price: $50
Spread at launch: 133bp over midmarket two year swaps
Call option: redeemable from 18/03/05
Launched: Wednesday March 12
Sole lead: Bear Stearns
The deal was well received. We announced a $250m transaction at half past four on Tuesday, and priced it on Wednesday at noon - so we had to all intents and purposes one day of marketing.
We went out with price guidance of a coupon in the 3% area and priced it at 3%.
We were significantly oversubscribed, with much of the interest coming from regional banks and corporates.
Because it has a dividend received deduction, any corporate that buys it receives a dividend that can be written off against tax, so the buyer base is corporate America - largely banks and thrifts.
This is a perpetual non-call two, priced at 133bp over two year swaps. It is the same deal as the one we did in November and 5bp tighter.