Suncorp "securing up"

We had heard recently on the rumour mill that Suncorp was “preparing something” to get them through the coming bad times in Queensland.

Today we noted what it is.

Australian regional lender Suncorp Metway (SUN.AX) has priced A$900 million ($890 million) of 2.5-year notes at 110 basis points over swap and BBSW, according to terms seen by Reuters on Tuesday.

The issue included A$600 million in floating rate notes and A$300 million in fixed rate notes.

The notes will mature on June 18, 2013 with settlement on Nov. 26.

Deutsche Bank and UBS jointly lead the issue, with Royal Bank of Scotland acting as co-manager.

Suncorp is rated A-plus by S&P and A1 by Moody’s

We aren’t so sure 3 years is going to be enough, but at least this is not the taxpayers problem this time…. Yet.

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