Westpac Capital Raising

Why is Westpac trying to raise more capital through their Capital Note No 5 issue?

My understanding was that all banks had raised sufficient capital to cover APRA requirements. Is there a takeover restructure in play?

A: This is a hybrid security. While it is part of their tier 1 capital, it is within an allocation reserved for these types of securities. You will find that the Capital Notes 5 issue replaces a maturing security.

No takeover restructure is in play.

Regards


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