CBA sells 400 mln pound 3-year bond at 195bp/Gilt

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SYDNEY, March 14 (Reuters) - Commonwealth Bank of Australia
(CBA.AX: Quote, Profile, Research), the country's top mortgage lender and biggest retail
bank, has priced a 400 million pound ($816 million) three-year
bond issue at 195 basis points over Gilt, a market source said.

The book received orders worth more than 450 million pounds
four hours after the issue was launched and at around 195 basis
points over Gilt, the source said.

A total of 32 investors participated in the offer and
included life insurance companies, pension funds and asset
managers.

Around 90 percent was placed in the UK, while the rest was
sold in continental Europe.

Asset managers and insurance companies represented the two
largest groups of investors and took 39 percent and 32 percent
of the trade respectively, the source said.

The deal details are as follows:

Issuer: Commonwealth Bank of Australia

Facility: Fixed rate euronotes

Documentation: Europe

Amount issued: 400 mln pounds

Maturity: March 18, 2011

Set date: March 18

Coupon: 6.00%

Margin: +195 basis points over Gilt

Issue price: 99.872

Lead(s): Citi, Royal Bank of Scotland

Issuer rating: AA (S&P), Aa1 (Moody's), AA (Fitch)
($1=0.49 pound)
(Reporting by Cecile Lefort)