ANZ yesterday lodged the much-anticipated prospectus for an offer of convertible preference shares. The bank is looking to raise $500 million but will sell more shares if there is demand.The CPS will pay a floating rate with the margin, to be determined after the bookbuild, in a range between 2.5 and 2.9 per cent over the bank bill rate.Three other CPS deals came to the market in May and June. Suncorp is paying a floating rate of 3.2 per cent over the bill rate and Westpac is paying a floating rate 2.4 per cent over bills on its Stapled Preferred Securities. Both issuers are paying franked distributions.Macquarie Group opted for an unfranked, fixed rate issue with its Convertible Preferred Securities. The distribution rate is 11.095 per cent - 3.5 per cent over the bill rate at the time of issue.The ANZ CPS issue is longer dated than the others. It is convertible to ordinary shares in June 2014. The other three issues are convertible in 2013.ANZ said in a statement yesterday that it expected the distributions to be "fully or substantially" franked.ANZ is offering a more generous conversion discount than the other issuers. Mandatory conversion conditions are intended to protect CPS holders from receiving less than $102.56 worth of ordinary shares per CPS - a 2.5 per cent discount.The other issuers all offered one per cent conversion discounts. The ANZ CPS has been assigned an A+ rating by Standard & Poor's and a provisional rating of Aa3 by Moody's.