Fonterra plans bond issue to raise up to NZ$250 mln to repay foreign debt

Fonterra has announced plans to raise up to NZ$250 million through a senior unsecured bond offering in New Zealand to partially refund a 300 million euro debt maturing in April. Fonterra successfully sold NZ$800 million worth of bonds yielding 7.75% in New Zealand last February after initially announcing plans to raise up to NZ$300 million. Fonterra said it would mandate ANZ, BNZ and Westpac Institutional Bank as joint lead managers. "Fonterra intends to use any money raised for general business purposes, including partial replacement of a €300 million Euro Medium Term Note (EMTN) maturing in April 2010," Fonterra said, adding the bond was distinct from Fonterra's current offer to farmers to buy additional shares.