Sharechat Logo

Contact mulls $225 mln bond issue to refinance upcoming maturity

Friday 20th December 2013

Text too small?

Contact Energy, the second biggest listed power company on the New Zealand stockmarket, is looking at issuing a $225 million retail bond to help refinance $534 million of maturities coming next May.

The Wellington-based company is considering an exchange offer to existing holdings of the 2009 bonds which mature on May 14, 2014, as well as a general offer to existing and new investors, it said in a statement. The company raised US$240 million in a wholesale bond issue to US investors in June to help refinance the 2014 retail bond, which hadn't been drawn on, at its balance date of June 30.

Forsyth Barr has been appointed arranger of the offer, which is expected to open in late February.

In October, Contact embarked on a buyback programme for its 2015 bond, using existing cash and banking facilities to do so.

Contact shares slipped 0.2 percent to $4.93 today, and have slipped 5 percent this year.

 

BusinessDesk.co.nz



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

MARKET CLOSE: Blue-chip stocks Meridian, A2 lead market lower
NZ dollar rises on Brexit hopes, rate cut reassessment
Three not failing, just needs a new owner - MediaWorks CEO
Major investors back new CBL class action targeting directors
Rip Curl purchase a done deal on Kathmandu proxies alone
Comvita chair Neil Craig eyes the exit once he finds a new CEO
Mercury raises guidance on increased storage, high spot prices
Eroad reports strong 3Q sales growth, eyes ASX listing
MediaWorks puts TV business on the block
NZ dollar benefits as preliminary Brexit deal improves risk appetite

IRG See IRG research reports