Mercury launches capital bond offer

OFFER
Mon, May 02 2022 08:55 am

Mercury NZ Limited (Mercury) confirmed today that it is offering up to $200 million (with the ability to accept oversubscriptions of up to an additional $50 million at Mercury’s discretion) of unsecured, subordinated capital bonds (Capital Bonds) to institutional investors and New Zealand retail investors.

The offer opens today and is expected to close on 5 May 2022, with the Capital Bonds expected to be issued on 13 May 2022.

The indicative margin range for the Capital Bonds to the First Reset Date (13 May 2027) is 1.70% to 1.85% per annum (subject to a minimum interest rate of 5.50% per annum). An announcement of the actual margin (which may be above or below the indicative margin range) and interest rate to the First Reset Date will be made following a bookbuild process, expected to be completed on 5 May 2022 and announced via NZX shortly thereafter.

The Capital Bonds are expected to be rated BB+ by S&P Global Ratings.

There is no public pool for the offer, with all of the Capital Bonds being reserved for clients of the Joint Lead Managers, NZX participants and other approved financial intermediaries.

Full details of the offer are contained in the indicative terms sheet which is attached to this announcement together with an investor presentation.

Copies of the indicative terms sheet and investor presentation have also been provided to NZX with this announcement.

Joint Lead Managers:

BNZ - 0800 284 017
Craigs Investment Partners Limited - 0800 226 263
Forsyth Barr Limited - 0800 367 227

ENDS

Howard Thomas
General Counsel and Company Secretary
Mercury NZ Limited

For investor relations queries, please contact:
William Meek
Chief Financial Officer
0275 173 470

For media queries, please contact:
Shannon Goldstone
Head of Communications
Media phone: 027 210 5337


Announcement PDF


Markets News

Markets

Simon Robertson: Your mid-year investment health check

What should you really be looking for from your fundie? 

Simon Robertson 05 Jul 2025
Your mid-year investment health check
Markets Market Close

Tourism Holdings stalls as NZ sharemarket ends week on high

The NZ sharemarket bounced back as large-cap stocks balanced gains and losses.

Tom Raynel 04 Jul 2025
Tourism Holdings stalls as NZ sharemarket ends week on high