Demand for AMP’s new capital notes in the institutional book-build process has seen the issue upsized from an indicated $200m to at least $230m. The margin has been fixed at the lower end of the initially indicated range at 5.10% above the 90 day BBSW rate. This margin is fixed for the life of the notes with the BBSW rate reset each quarter.
Total return for the first quarter will be around 7.20% including a franking component based on an 85% franking rate.
The $230m is the amount allocated to brokers and institutional investors with the final issue size determined by the shareholder and retail allocation. The PDS for the issue can be found at www.ampcapitalnotes.com.au