News: Tatts issues bonds

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Tatts Group Limited (ASX:TTS) says it will raise $200 million by issuing seven-year unsecured bonds to investors in order to pay off its bank debt.

Priced at $100 each, with the ability to raise more or less, the bonds will be listed on the Australian Stock Exchange from early July.

The proceeds will also be used to diversify its funding sources. Tatts revenue rose 4 per cent for the first-half of this year and says it has an encouraging outlook for the second half.

In the first-half of the 2012 financial year, Tatts Group generated a net profit of $167 million.