Westpac offloads BT shares

WESTPAC is offloading a $730 million stake in the listed BT Investment Management ahead of a full selldown of its entire holding in the $3.8 billion funds manager.

It comes as the federal government prepares to hit the major banks with a new tax and as the lenders prepare for stricter capital ratio requirements under incoming Basel rules.

BT shares are close to a record high, and closed 0.7 per cent higher yesterday at $12.18.

Westpac is selling the stake at a 16 per cent discount.

Macquarie is acting as broker and underwriter on the deal, which will see Westpac reduce its stake in the investment manager from 30 per cent to 9.8 per cent by Friday.