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- Release Date: 14/03/14 15:45
- Summary: GENERAL: AKC: Auckland Council opens a retail bond issue
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AKC
14/03/2014 13:45
GENERAL
REL: 1345 HRS Auckland Council
GENERAL: AKC: Auckland Council opens a retail bond issue
14 March 2014
Auckland Council opens a retail bond issue
Auckland Council today opened a retail bond issue, seeking to raise up to
NZ$150 million, with the right to accept up to NZ$50 million of
oversubscriptions.
The offer, which is for 10-year fixed-rate secured bonds, is to fund
investment in projects across the region that will benefit all Aucklanders
for generations to come, as well as refinancing maturing debt.
The offer closes at 12 noon on Friday 21 March 2014. The interest rate on the
bonds is 5.806% per annum until maturity. The bonds carry a credit rating of
AA from Standard & Poor's and Aa2 from Moody's.
The minimum investment amount is NZ$5,000, with multiples of NZ$1,000
thereafter.
Investors wishing to obtain an investment statement and series notice for
this offer can:
- contact one of the joint lead managers
ANZ Bank New Zealand Limited
0800 269 476
Bank of New Zealand
0800 284 017
Westpac Banking Corporation
0800 942 822
- contact an authorised financial advisor
- go online to www.aucklandcouncil.govt.nz
The bonds are secured by a charge over the rates revenue of Auckland Council
and will rank equally with all other secured debt of Auckland Council. The
security is first ranking although other security is preferred by law
(including security interests that may have priority under the Personal
Property Securities Act).
Application has been made to NZX for permission to quote the bonds on the NZX
Debt Market. However, the bonds have not yet been approved for trading and
NZX accepts no responsibility for any statement in this announcement. NZX
Debt Market is a registered market and NZX is a registered exchange under the
Securities Markets Act 1988.
Council reserves the right to vary the closing day of the offer. Applications
for the bonds can only be made using the application form contained in the
Investment Statement. Applications need to be submitted to a lead manager or
an authorised financial advisor.
Ends
For media assistance, please contact:
Sharne Parsons, Senior media adviser, Auckland Council
Ph. 021 993 644
End CA:00248232 For:AKC Type:GENERAL Time:2014-03-14 13:45:45
