CBA delivers good news for ASB perpetual preference shares investors

Thu, 07 Feb 2019

By Jenny Ruth Feb. 7 (BusinessDesk) - Investors in ASB perpetual preference shares are likely ecstatic that Commonwealth Bank of Australia has decided to redeem them on May 15. CBA says the two tranches of preference shares, issued in 2002 and 2004 with face values of $200 million and $350 million respectively, ceased counting toward ASB’s Tier 1 capital from Jan. 1, 2018, although they continued to count as Tier 1 capital for CBA itself. CBA will redeem both at face value plus any accrued interest and their redemption will reduce CBA’...

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