It has been learnt that Bank of New Zealand is eager to raise at least $150 million from New Zealand retail and wholesale investors, which it would to do to serve general corporate purposes.

Today, a prospectus was lodged by BNZ for a planned issue of perpetual non-cumulative shares to increase tier 1 capital. Oversubscriptions might be accepted.

Furthermore, the proceeds were meant to be used by BNZ from the hybrid securities offer for general corporate purposes.

“The offer was part of National Group's ongoing capital management programme, and consistent with the bank's aim to maintain a strong capital position,” informed a source.

(via TopNews New Zealand. Contributed by Girish Kumar Guha)