Tower and New Zealand Post have announced plans to raise up to a combined NZ$300 million through bond issues aimed at retail investors. (Updated to include pricing of Tower bonds.) Tower said it planned to retire existing senior debt with an offer of NZ$80 million worth of 5 year bonds, with the ability to raise a further NZ$20 million from oversubscriptions. The bonds will be offered at a rate of 8.5%, Tower said. The offer is being joint lead managed by Goldman Sachs JB Were and Forsyth Barr. New Zealand Post said it planned to raise at least NZ$150 million with the potential for a further NZ$50 million in oversubscriptions. The offer is planned from mid-March. * This article was first published yesterday in our daily subscription newsletter for the banking and finance industries. The email costs NZ$365 per annum and carries exclusive news and analysis for New Zealand banking and finance industry executives, regulators and investors. Sign up for a free trial here.
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