Suncorp (ASX:SUN) has announced its intention to issue Suncorp Capital Notes 2 to raise $250 million.
The new perpetual, subordinated, convertible, unsecured security will be traded on the ASX.
Suncorp expects to use proceeds from the capital raising to fund one or more regulated entities, as well as general corporate and funding purposes.
Distributions are expected to be fully franked and scheduled to be paid quarterly.
Suncorp CFO Steve Johnston said its capital position will be further strengthened by the Capital Notes 2 offer, and a key part of its ongoing funding and capital management strategy.
Shares in Suncorp (ASX:SUN) are trading 0.29 per cent higher to $13.71.