Mighty River Power to sell NZD 100m in bonds

Feb 27, 2013 - New Zealand state-owned Mighty River Power said today it would issue NZD 75 million (USD 62m/EUR 47m) worth of six-year bonds and NZD 25 million worth of 10-year bonds on March 6, 2013.

The six-year bonds will have a fixed coupon of 5.029%, while the 10-year notes will come with a 5.793% coupon.

Mighty River Power’s Chief Financial Officer, William Meek, said proceeds from the bond offering would be used within the company’s refinancing programme and for general corporate purposes.

Bank of New Zealand (BNZ) was appointed sole lead arranger for the bond issue.

Last week, Mighty River Power, most of whose generation comes from hydropower and geothermal sources, said its net profit for its first fiscal half through December 2012 had jumped to NZD 75 million from NZD 17.6 million a year back.

(NZD 1 = USD 0.825/EUR 0.631)

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