Commonwealth Bank of Australia (ASX: CBA) has today launched an offer for CommBank PERLS XV Capital Notes (expected ASX Code: CBAPL), to raise $750 million, with the ability to raise more or less.

PERLS XV have an Initial Face Value of A$100 and will qualify as Tier 1 Capital of CBA. These securities are structured as perpetual, subordinated, unsecured and convertible notes. Distributions are discretionary, non-cumulative, floating rate and expected to be fully franked, paid on a quarterly basis in arrears until converted or redeemed.

Shaw and Partners is delighted to be appointed as Joint Lead Manager to the Commonwealth Bank of Australia PERLS XV Offer.

The$750m offer comprises:

• a Reinvestment Offer (under which eligible PERLS VII (CBAPD) Holders may apply through a syndicate broker to reinvest some or all of their redemption proceeds into PERLS XV); and
• a New Money Offer via a syndicate broker

The margin is expected to be between 2.85% and 3.00% pa and will be determined through the Bookbuild.

Quarterly Distributions with the first distribution scheduled to be paid on 15 March 2023.

PERLS XV are Callable at CBA’s option on 15 June 2028, 15 Dec 2028, or 15 Jun 2029 (first approximately 5.6 years), or following a Tax or Regulatory Event. PERLS XV will Mandatorily Convert into Ordinary Shares on 16 Jun 2031 (subject to certain conditions), unless they are converted, Redeemed or Resold earlier.

The offer is open to Australian Resident Wholesale clients (Sophisticated or Professional) only.

For more information please contact your Shaw and Partners adviser.