Ann: GENERAL: PCT: Precinct announces its retail bond offer

• Release Date: 28/11/14 13:06
• Summary: GENERAL: PCT: Precinct announces its retail bond offer
• Price Sensitive: No
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					PCT
28/11/2014 13:06
GENERAL
PRICE SENSITIVE
REL: 1306 HRS Precinct Properties New Zealand Limited

GENERAL: PCT: Precinct announces its retail bond offer

Precinct Properties New Zealand Limited (Precinct) today announced that it
has registered its Simplified Disclosure Prospectus (SDP) for an offer of up
to $50 million (with the ability to accept up to $25 million of
oversubscriptions) fixed rate senior secured bonds (1) (Bonds) to the New
Zealand public.

The Bonds benefit (on an equal ranking basis with other secured creditors,
including Precinct's bank lenders, USPP noteholders, hedging provider and any
future secured creditors) from mortgages over real property granted by
Precinct's property holding subsidiaries (Precinct Properties Downtown
Limited and Precinct Properties Holdings Limited).

The offer is expected to open on Monday 8 December 2014 and close on Friday
12 December 2014 at 5.00pm.

The indicative margin range for the bonds is 1.30% - 1.45% per annum.  An
announcement of the margin and the fixed rate of interest applying to the
Bonds will be made following the bookbuild process, expected to be on Friday
12 December 2014. Interest on the Bonds will be paid semi-annually in arrears
on 17 June and 17 December of each year and the Bonds, which have a seven
year tenor, will mature on 17 December 2021.

There is no public pool for the Bond offer, with 100% of the Bonds, including
oversubscriptions, reserved for clients of the Joint Lead Managers,
Co-Manager, institutional investors and other market participants.

Investors can register their expressions of interest by contacting any of the
Joint Lead Managers, Co-Manager or their usual financial advisor to request a
free copy of the SDP for the Bonds. A free copy of the SDP can also be
reviewed at www.precinctbondoffer.co.nz.

Joint Lead Managers:
ANZ  0800 269 476  www.anzsecurities.co.nz
Deutsche Craigs    0800 226 263 www.craigsip.co.nz
First NZ Capital   0800 005 678 www.fnzc.co.nz

Co-Manager:
Macquarie Capital (New Zealand) Limited     0800 742 737 www.macquarie.com

The minimum holding for the Bonds is an aggregate principal amount of $5,000
of Bonds and applications must be for a minimum of $5,000 and in multiples of
$1,000 thereafter. You should read the whole of the SDP before deciding to
invest.  Application has been made to NZX Limited for permission to quote the
Bonds on the NZX Debt Market 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(2).    However, the Bonds have not yet been approved
for trading and NZX accepts no responsibility for any statement in this
advertisement. The NZX Debt Market is a registered market operated by NZX
(which is a registered exchange) under the Securities Markets Act 1988.

-ends-

For further information, contact:
George Crawford
Chief Financial Officer
Office: +64 9 927 1641
Mobile: +64 21 384 014
Email: [email protected]

About Precinct (PCT)
Precinct is New Zealand's only specialist listed investor in premium and
A-grade commercial office property. Listed on the NZX Main Board, PCT
currently owns 17 New Zealand buildings - Auckland's PwC Tower, SAP Tower(3)
, AMP Centre, ANZ Centre, Zurich House, HSBC House and Downtown Shopping
Centre; and Wellington's State Insurance Tower, Vodafone on the Quay, 171
Featherston Street, 125 The Terrace, No. 1 and No. 3 The Terrace, Pastoral
House, Mayfair House, 80 The Terrace (4), Deloitte House and Bowen Campus.

1  The Bonds benefit (on an equal ranking basis with other secured creditors,
including Precinct's bank lenders, USPP noteholders, hedging provider and any
future secured creditors) from mortgages over real property granted by
Precinct's property holding subsidiaries (Precinct Properties Downtown
Limited and Precinct Properties Holdings Limited). In an insolvency of those
security providers, the claims of the senior secured creditors will (by
virtue of that security) rank ahead of all other creditors of the relevant
security provider other than certain statutorily preferred creditors.
2  Precinct has received a waiver from NZX to NZX Main Board/NZX Debt Market
Listing Rules 5.2.3 and 11.1.1 in respect of the offer of the Bonds.
3  Precinct has entered into an unconditional agreement to sell SAP Tower in
Auckland for $97 million.  Settlement is expected to take place in February
2015.
4  80 The Terrace in Wellington is currently being marketed for sale.  At
present no agreement for the sale of this property has been entered into and
there is no certainty whether a transaction will proceed.
End CA:00258249 For:PCT    Type:GENERAL    Time:2014-11-28 13:06:19