KWM advises ME Bank on Australia’s third-ever wholesale Additional Tier 1 Capital deal

King & Wood Mallesons (KWM) has advised ME Bank on Australia's third-ever wholesale Additional Tier 1 Capital deal – and the first to feature write-off only (rather than conversion) at the point of non-viability.  
 
ME Bank has issued A$200 million of Additional Tier 1 Capital-qualifying unrated Capital Notes via National Australia Bank and Westpac Institutional Bank.  The transaction is intended to support ME's capital adequacy. 
 
The deal is the third AT1 deal targeted at wholesale investors since the introduction of the Basel III capital requirements, and the first wholesale AT1 transaction in Australia from an unlisted ADI. 
 
The KWM team was led by Partners Jo Dodd, Ian Paterson and Darren McClafferty, with support from Senior Associate Sylvester Urban, Associate Charlene Soh and solicitor Kendy Ding
 
Jo Dodd said: "We are very pleased to have advised ME Bank on this transaction and helped position the wholesale format AT1 issuance space as a viable fundraising option for ba