Challenger IM raises $83M in debut wholesale notes issuance
What's the deal? Challenger IM Capital LimitedDealroom has a profile for this one. Try Dealroom →, a wholly owned subsidiary of Challenger LimitedDealroom has a profile for this one. Try Dealroom →, raised US$74.4M in the first issuance under its new RAISE wholesale notes programme. The unlisted notes settled on September 7, 2026, with Westpac Banking CorporationDealroom has a profile for this one. Try Dealroom → acting as dealer and lead manager.
The terms: The notes carry a fixed annual interest rate of 7.0534%, paid quarterly, until July 20, 2032. After that date, any outstanding notes switch to a floating rate of one-month BBSW plus 2.40%, plus a 1.00% per annum step-up margin.
The structure: The tranche has a target repayment date of July 20, 2032, and a maturity date of July 20, 2033. The notes rank equally with the company's existing Challenger IM LiFTS 1 Notes, sharing the same underlying asset pool and structural protections, including the First Loss Buffer.
What's the endgame? The RAISE programme is newly established, and this tranche marks its inaugural raise. It aims to complement the existing LiFTS programme by expanding access to wholesale and institutional capital, strengthening the company's funding platform.
The signal: The debut issuance points to steady institutional appetite for structured, asset-backed debt at a fixed yield above 7%. For Challenger, building a second wholesale funding channel diversifies its capital sources as it scales its lending platform.
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