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SYDNEY, Aug 14 (Reuters) - The Australian unit of Deutsche
Bank (DBKGn.DE) will convert A$600 million ($524.5 million)
National Australia Bank (NAB.AX) Tier 1 securities into
ordinary shares, NAB said on Thursday.
The initial hybrid offer was privately placed in December
with Deutsche Bank, which holds the conversion right, NAB's
statement said.
The conversion into ordinary shares will offer a discount
of up to one percent and will change the type of Tier 1
securities from residual Tier 1 to fundamental Tier 1.
Banks are required to maintain a certain level of
ultra-liquid Tier 1 capital as a cushion to protect bank
deposits.
($1=1.14 Australian Dollar)
(Reporting by Cecile Lefort)
