NAB raising funds to meet new regulatory requirement

NAB only one of Big Four below new core capital ratio

Westpac, CBA also announced raising in recent weeks

Updates throughout with background on regulatory requirements, capital raising by peers

Nov 18 (Reuters) - National Australia Bank NAB.AX said on Monday it was looking to raise A$1.4 billion ($959.70 million) through the issue of medium-term notes, its second capital raising in a month, to help beef up its capital ahead of a regulatory deadline.

Of the total issue, A$1.18 billion of notes will carry a floating rate, and A$225 million will carry a fixed rate. Both sets of notes will be due in November 2031.

Australia's biggest banks have been eyeing ways to raise capital ahead of a new core capital ratio requirement of 10.5% by Jan. 1.

NAB finds itself in a difficult spot, as its the only one of the Big Four banks that is below that level, currently sitting at 10.38%.

The country's third largest lender earlier this month announced a $1.55 capital raising via a partially underwritten dividend reinvestment plan.

Westpac Banking Corp WBC.AX also this month launched a A$2.5 billion capital issue, the largest raising by one of the Big Four since 2015.

Commonwealth Bank of Australia CBA.AX, the country's top lender, announced a A$2.5 billion notes issue in September.

($1 = 1.4588 Australian dollars)

(Reporting by Nikhil Kurian Nainan in Bengaluru; editing by Jane Wardell)

((NikhilKurian.Nainan@thomsonreuters.com; Twitter: @NikhilKurianN; +91 806 749 1637))

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