GENERAL: NZX: Meridian Energy Limited - Renewable Energy Bonds

29 Jan 2010 10:59 am

NZX 29/01/2010 GENERAL

REL: 1059 HRS NZX Limited

GENERAL: NZX: Meridian Energy Limited - Renewable Energy Bonds

6.0 Offer period - Media Release

Renewable Energy Bonds

Generating great returns for New Zealanders

5 year bond with a 7.15% Minimum Interest Rate 7 year bond with a 7.55% Minimum Interest Rate

Meridian Energy Limited has today announced its intent to offer up to NZ$150 million Renewable Energy Bonds (REBs) to New Zealand investors in two Tranches, with the ability to accept up to NZ$50 million oversubscriptions. Tranche 1 is a five year bond maturing on 16 March 2015 with a 7.15 % Minimum Interest Rate and Tranche 2 is a seven year bond maturing on 16 March 2017 with a 7.55 % Minimum Interest Rate. The REBs are senior retail bonds. Meridian is offering this issue through an innovative on-line application and payment facility accessed through its website www.meridianinvestments.co.nz and via traditional application methods..

New Zealand investors have from 2 February 2010 to 23 February 2010 to apply.

Key Features BBB+ investment grade rating from Standard & Poor's $5000 minimum investment On-line application and electronic payment functionality

To obtain a copy of the Investment Statement and/or apply on-line visit www.meridianinvestments.co.nz or call the joint lead managers BNZ on 0800 275 270 or First NZ Capital Securities Limited on 0800 005 678 or contact any of the co-managers or your NZX broker.

Co-managers to the offer are; ANZ, Craigs Investment Partners and Westpac

The Issuer is Meridian Energy Limited (Meridian). The Renewable Energy Bonds (REBs) are senior unsecured obligations of Meridian. The REBs are guaranteed by the companies that are from time to time guaranteeing group members under the trust deed that constitutes the REBs, currently being Meridian, MEL Holdings Limited, MEL (West Wind) Limited, MEL (Te ?piti) Limited, MEL (White Hill) Limited, MEL (Te Uku) Limited, MEL (Central Wind) Limited and MEL (Mill Creek) Limited. The guarantee is not secured. The REBs are not guaranteed by the Government. The minimum holding of REBs is $5,000 and multiples of $1,000 thereafter.

Application has been made to NZX for permission to list the REBs and all the requirements of NZX relating thereto that can be complied with on or before the date of this advertisement have been duly complied with. However, NZX accepts no responsibility for any statement in this advertisement. NZX is a registered exchange.

The Interest Rate for each Tranche of REBs will be equal to the higher of: (a) the Minimum Interest Rate for the Tranche; and (b) the sum of the Base Rate and the Margin for the Tranche. The Base Rate for each Tranche will be determined by Meridian on the Rate Set Date (25 February 2010 or such other date as Meridian may determine) by reference to the five year swap rate for Tranche 1 and the seven year swap rate for Tranche 2. The Margin is 1.75% for Tranche 1 and 1.85% for Tranche 2. The Interest Rate for each Tranche of REBs will be announced by Meridian on the Rate Set Date.

[ends] End CA:00190667 For:NZX Type:GENERAL Time:2010-01-29:10:59:49

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