NAB issues A$1bn subordinated notes to bolster regulatory capital

National Australia Bank Limited ( (AU:NAB) ) has shared an announcement.

National Australia Bank has issued A$1 billion of subordinated callable fixed-to-floating rate medium term notes due May 2041 under its domestic debt issuance programme, which are designed to qualify as regulatory capital. The notes are convertible into ordinary shares if the prudential regulator determines the bank would otherwise become non-viable, providing additional loss-absorbing capacity without materially impacting NAB’s current financial position.

The bank has lodged an information memorandum with the Australian Securities Exchange detailing the rights and liabilities attached to the notes and ordinary shares, and has issued a cleansing notice so that any shares issued on conversion can trade freely without further disclosure. NAB emphasised its ongoing continuous disclosure obligations and is making key financial reports and governance documents available to investors, underscoring its efforts to maintain transparency while targeting wholesale rather than retail investors for this capital instrument.

The most recent analyst rating on (AU:NAB) stock is a Hold with a A$41.40 price target. To see the full list of analyst forecasts on National Australia Bank Limited stock, see the AU:NAB Stock Forecast page.

More about National Australia Bank Limited

National Australia Bank Limited is a major Australian financial institution providing retail, business and institutional banking services, as well as wealth management products, primarily across Australia and New Zealand. The bank operates extensive domestic and international funding programs to support its lending activities and regulatory capital requirements.

Average Trading Volume: 5,569,168

Technical Sentiment Signal: Buy

Current Market Cap: A$117.3B

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