BNZ
11/11/2015 09:37
GENERAL
NOT PRICE SENSITIVE
REL: 0937 HRS Bank of New Zealand
GENERAL: BNZ: BNZ Announces Subordinated Notes Offer
Bank of New Zealand ("BNZ") confirmed today that it is offering up to NZ$300
million of subordinated unsecured notes (the "Notes") to institutional
investors and to New Zealand retail investors, with the ability to accept
unlimited oversubscriptions.
The Notes have a term of 10 years but may be repaid earlier in certain
circumstances. The Notes may also be converted into ordinary shares in
National Australia Bank Limited ABN 12 004 044 937 ("NAB") or written off if
BNZ or NAB experience severe financial difficulty. The Notes will be treated
as Tier 2 Capital for BNZ and the NAB Level 2 Group. The Notes are not
guaranteed by NAB or any other person.
The opening date for the offer is 23 November 2015. The indicative issue
margin range is 2.25% - 2.50% per annum. The initial interest rate
(including the margin) will be set and announced on the Rate Set Date (20
November 2015). The interest rate on the Notes will be fixed until 17
December 2020 when it will be reset for a further 5 years. Payments on the
Notes are subject to BNZ satisfying a solvency condition.
The Notes are expected to be quoted on the NZX Debt Market* and have been
assigned a credit rating of BBB+ by Standard and Poor's, and A3 (hyb) by
Moody's.
The Notes are complex securities and riskier than a term deposit. The Notes
are not call deposits or term deposits with BNZ and may not be suitable for
many investors.
Full details of the Notes are contained in the Investment Statement dated 11
November 2015 and at www.bnz.co.nz/BNZSubordinatedNotes.
*Application has been made to NZX for permission to quote the Notes on the
NZX Debt Market and all the requirements of NZX relating to that application
that can be complied with on or before the date of this announcement have
been duly complied with. However, the Notes have not yet been approved for
trading and NZX accepts no responsibility for any statement in this
announcement. NZX is a licensed exchange, and the NZX Debt Market is a
licensed market under the Financial Markets Conduct Act 2013.
- ENDS -
For further information contact:
Neil Bradley
Treasurer, BNZ
Phone: (09) 976 5020
BNZ
0800 284 017
Deutsche Craigs Limited
0800 226 263
First NZ Capital Securities Limited
0800 005 678
Forsyth Barr Limited
0800 367 227
Macquarie Capital
(New Zealand) Limited
0800 742 737
JBWere (NZ) Pty Limited
0800 555 555
End CA:00273184 For:BNZ Type:GENERAL Time:2015-11-11 09:37:45