Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Mighty River Power completes successful Capital Bond offer

NEWS RELEASE

9 July 2014

Mighty River Power completes successful Capital Bond offer

Mighty River Power has today confirmed, following the close of the Capital Bond offer yesterday, that $300 million of unsecured subordinated Capital Bonds will be issued with an initial interest rate of 6.90% per annum.

Chief Financial Officer, William Meek, said that the company was pleased with the successful completion of one of the largest corporate debt issues of this type in New Zealand. The Capital Bond offer was well supported by new investors in Mighty River Power and existing shareholders who chose to participate, either through the firm allocations or through the public pool.

The interest rate for the Capital Bonds until the 11 July 2019 (the first reset date) was set today at 6.90% per annum (being the sum of the swap rate plus the initial margin). This exceeds the minimum interest rate of 6.80% announced prior to the opening of the offer.

The Capital Bond offer was oversubscribed by 20% ($50 million) with $280 million allocated to clients of bookbuild participants and $20 million to participants of the public pool. As the public pool was fully subscribed, there was scaling within the public pool with preference given to Mighty River Power shareholders as detailed in the Simplified Disclosure Prospectus.

Investors will be sent their allocation information on 14 July 2014 and applications for the Capital Bonds that were not accepted will be refunded for the part of the application which was not accepted on 15 July 2014.

The Capital Bonds will commence trading on the NZX Debt Market from 12:00pm on 11 July 2014.

ENDS

The Simplified Disclosure Prospectus for the offer can be viewed free of charge at www.mrpcapitalbonds.co.nz.

Application has been made to NZX to quote the Capital Bonds on the NZX Debt Market and all the requirements of NZX relating thereto that can be complied with on or before the date of this announcement have been duly complied with. However, NZX accepts no responsibility for any statement in this announcement. The NZX Debt Market is a registered market operated by NZX, which is a registered exchange, regulated under the Securities Markets Act 1988.


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news