Fresh from being awarded a government guarantee, PGG Wrightson Finance has announced plans for a NZ$75 million bond issue to mature on October 8, 2010, days before the 2 year guarantee is due to expire. The bonds are being underwritten for up to NZ$50 million by lead manager Forsyth Barr. The bonds will receive an interest rate which is the greater of 8.25% or 225 basis points above the two year swap rate. However PGG Wrightson said it would retain the option to extend the maturity of the bonds for a further 1 year if the guarantee scheme is extended. * 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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