CBA to raise $2b through notes offer

Commonwealth Bank is aiming to raise $2 billion by offering investors the chance to buy PERLS VII hybrid notes.

Commonwealth Bank is aiming to raise $2bn by offering investors the chance to buy hybrid notes. (AAP)

Commonwealth Bank is raising $2 billion through a hybrid notes offer to investors.

The PERLS VII unsecured capital notes will have an initial face value of $100.

They are scheduled to pay quarterly, floating rate distributions that are expected to be fully franked.

The notes have a call date of December 2022 and will convert into Commonwealth Bank shares two years later.

The bank said it will use money raised from the sale of notes to retail and institutional investors to help satisfy regulatory capital requirements and fund its business.

The offer opens on August 26 and closes on September 19.