Transpower to sell up to $300M of bonds maturing in 2015, 2019
Aug. 20 (BusinessDesk) - Transpower New Zealand, the state-owned national grid operator, will sell up to $300 million of bonds for working capital and to help fund its network upgrade work.
The offer is for $200 million of unsecured, unsubordinated bonds with up to $100 million of over-subscriptions. The debt will be sold in two maturities, a Dec. 3, 2015, issue with a floating interest rate and a Sept. 6, 2019, fixed-rate issue, it said.
The 2019 bonds are expected to be quoted on the NZDX market starting on Sept. 7. The debt will have an AA- credit rating with Standard & Poor’s.
The interest rates will be announced following a bookbuild on Aug. 31. Australia & New Zealand Banking Group and Bank of New Zealand are the joint lead managers for the sale.
Wellington-based Transpower last week reported to $84.8 million profit for the 12 months ended June 30, up from $78.5 million a year earlier. The grid company will $205 million final dividend.