QBE Insurance Group Ltd's stock surged 5.02% during intraday trading on Thursday, following the successful pricing of a significant subordinated notes offering.

The insurance group priced an issue of 500 million euros in fixed rate resetting subordinated notes under its note issuance program. The notes will have an 11-year term, maturing on June 17, 2037, and will initially pay a fixed interest rate of 4.293% per annum until June 17, 2032.

This issuance is part of QBE's ongoing funding and capital management strategy, with the proceeds intended to strengthen and support its Tier 2 capital position under the Australian Prudential Regulation Authority's capital adequacy framework. The successful pricing of such a substantial offering indicates strong investor confidence in the company's financial position and future prospects.