SYDNEY, March 1 (Reuters) - Australia's regional lender Bank
of Queensland has launched a five-year benchmark offer
guaranteed by the Australian government, a joint lead said on
Monday.
The triple A rated issue is for at least A$500 million ($448 million) and is seen at around 35 basis points over swap, a source who has seen the terms said.
Royal Bank of Scotland, UBS and Westpac are jointly leading the offer.
Pricing could happen later on Monday, the source added.
The Labor government announced last month it would end at the end of March a bank deposit and funding guarantee scheme put in place in 2008 when the global crisis hit.
Analysts expect a surge in government-guaranteed bonds issues before the sovereign guarantee expires, in particular from smaller lenders which are still coping with high borrowing costs in the wake of the global credit crisis.
Bank of Queensland is the fourth government-guaranteed issue since the expiry announcement.
(Reporting by Cecile Lefort)
((cecile.lefort@reuters.com; +612-9373-1234; Reuters Messaging: cecile.lefort.reuters.com@reuters.net)) ($1=1.117 Australian Dollar) Keywords: BOQ/BONDS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The triple A rated issue is for at least A$500 million ($448 million) and is seen at around 35 basis points over swap, a source who has seen the terms said.
Royal Bank of Scotland, UBS and Westpac are jointly leading the offer.
Pricing could happen later on Monday, the source added.
The Labor government announced last month it would end at the end of March a bank deposit and funding guarantee scheme put in place in 2008 when the global crisis hit.
Analysts expect a surge in government-guaranteed bonds issues before the sovereign guarantee expires, in particular from smaller lenders which are still coping with high borrowing costs in the wake of the global credit crisis.
Bank of Queensland is the fourth government-guaranteed issue since the expiry announcement.
(Reporting by Cecile Lefort)
((cecile.lefort@reuters.com; +612-9373-1234; Reuters Messaging: cecile.lefort.reuters.com@reuters.net)) ($1=1.117 Australian Dollar) Keywords: BOQ/BONDS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.