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ANZ Capital Notes
ANZ Bank New Zealand Limited (ANZ) issued NZ$500 million capital notes (Capital Notes) on 31 March 2015. The Capital Notes are mandatory convertible, non-cumulative perpetual subordinated debt securities. Depending on the circumstances, the Capital Notes may be repaid, converted into shares in Australia and New Zealand Banking Group Limited (ANZBGL) or written off. The Capital Notes will not be guaranteed by any person, and ANZBGL does not guarantee ANZ.
The paragraph above is a summary only. Full details of the Capital Notes are contained in the investment statement dated 23 February 2015 (“Investment Statement”) and in the "Note Terms" forming schedule 1 of the deed poll dated 23 February 2015 (as amended from time to time) (“Deed Poll”) made by ANZ. The information in the Investment Statement was correct as at the issue date (31 March 2015). Copies of these documents are available by clicking on the links below or by calling (09) 252 6507.
The Capital Notes are riskier than a bank deposit.
The Capital Notes are not call deposits or term deposits with ANZ and may not be suitable for many investors.
RBNZ changes affecting the Capital Notes (2 April 2020)
ANZ has been informed by the Reserve Bank of New Zealand (RBNZ) that locally incorporated banks cannot pay dividends on ordinary shares, and should not redeem capital notes at this time to further support the stability of the banking financial system during this period of economic uncertainty.
Accordingly, ANZ will not be permitted to redeem the Capital Notes on the Optional Exchange Date (25 May 2020).
The RBNZ’s decision does not affect ANZ’s ability to pay interest on the Capital Notes. Interest is scheduled to be paid quarterly in arrears, is subject to ANZ’s discretion and other conditions as set out in the investment statement, and is non-cumulative.
The terms of the Capital Notes also provide for their conversion into ordinary shares of ANZBGL (listed on the NZX and ASX) in May 2020 or May 2022 (conversion is subject to certain conditions as set out in the investment statement of the Capital Notes).
Further information will be made available by ANZ to holders of the Capital Notes in the near future.
- Capital Notes Deed Poll- Effective from 1 July 2019 (PDF 462kB)
- Coordination Agreement dated 23 February 2015 (PDF 464kB)
- Investment Statement dated 23 February 2015 (PDF 620kB)