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DBS Group Holdings Ltd's inaugural AUD Basel III Tier 2 offering attracts strong interest


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SINGAPORE,08 March 2018 -

DBS Group Holdings Ltd (“DBSH”) has successfully priced the issue of AUD 750,000,000 Floating Rate Subordinated Notes due 2028 (the “Notes”) under its USD 30 billion Global Medium Term Note Programme (the “Programme”). This is DBSH’s inaugural AUD-denominated Tier 2 capital issuance, pursuant to the requirements of the Monetary Authority of Singapore (“MAS”).

Said DBS CFO Chng Sok Hui, “This is the first time DBS has accessed the Australian market for a regulatory capital offering, responding to AUD investors and favourable market conditions. This issuance further diversifies our investor base and testifies to the strong support from investors within and outside of Australia.”

The Notes will bear a quarterly coupon of 3-month Bank Bill Swap reference rate plus 1.58% per annum and may be redeemed at the option of DBSH, in whole, but not in part, on 16 March 2023 or on any interest payment date thereafter, subject to the prior approval of the MAS.

The Notes are expected to be issued on 16 March 2018. The net proceeds from the issue of the Notes will be used for the finance and treasury activities of DBSH, including the provision of intercompany loans (or other forms of financing) to DBS Bank Ltd. and its subsidiaries.

DBSH has mandated DBS Bank Ltd. as Global Co-ordinator and Joint Lead Manager, National Australia Bank Limited as Structuring Advisor and Joint Lead Manager, and Commonwealth Bank of Australia and Westpac Banking Corporation as Joint Lead Managers for the issuance of the Notes. The Notes have been offered to certain non-U.S. investors outside the United States in reliance on Regulation S under the Securities Act.

The Notes are expected to be rated A3(hyb) by Moody's Investors Services Inc. and A+ by Fitch Ratings Ltd.

Application will be made to the Singapore Exchange Securities Trading Limited (the “SGX-ST”) for the listing and quotation of the Notes on the SGX-ST. There is no guarantee that an application to the SGX-ST will be approved. Admission of the Notes to the Official List of the SGX-ST is not to be taken as an indication of the merits of DBSH, the Programme or the Notes. The SGX-ST assumes no responsibility for the correctness of any statement made, opinions expressed or reports contained herein.

THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO CANADA, JAPAN, THE UNITED STATES OF AMERICA (the “U.S.”) OR TO U.S. PERSONS OR TO ANY OTHER JURISDICTION WHERE SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE PROHIBITED BY APPLICABLE LAW.

This announcement does not constitute or form a part of any offer, solicitation or invitation to sell, issue, purchase or subscribe for securities in the United States or any other jurisdiction. The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or the securities laws of any state of the United States or any other jurisdiction. The securities are being offered and sold outside the United States in reliance on Regulation S under the Securities Act, and may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in the Securities Act) absent registration or an applicable exemption from registration requirements under the Securities Act. No public offering of the securities will be made in the United States or in any other jurisdiction where such an offering is restricted or prohibited.

Copies of this announcement should not be distributed, directly or indirectly, in or into the United States or to U.S. persons or in any other jurisdiction in which such distribution is prohibited.

A rating is not a recommendation to buy, sell or hold securities and may be subject to suspension, reduction or withdrawal at any time by the assigning rating organisation. Similar ratings on different types of securities do not necessarily mean the same thing. The significance of each rating should be analysed independently from any other rating.

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About DBS
DBS is a leading financial services group in Asia, with over 280 branches across 18 markets. Headquartered and listed in Singapore, DBS has a growing presence in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.

DBS is at the forefront of leveraging digital technology to shape the future of banking, and has been named “World’s Best Digital Bank” by Euromoney. The bank has also been recognised for its leadership in the region, having been named “Asia’s Best Bank” by several publications including The Banker, Global Finance, IFR Asia and Euromoney since 2012. In addition, the bank has been named “Safest Bank in Asia” by Global Finance for nine consecutive years from 2009 to 2017.

DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.

With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. The bank acknowledges the passion, commitment and can-do spirit in all of our 24,000 staff, representing over 40 nationalities. For more information, please visit www.dbs.com.

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