Heartland Bank to offer up to $150 million in five-year bonds
The offer will open August 30 and close September 18.
Heartland Bank is offering up to $150 million of five-year fixed rate bonds to institutional and New Zealand retail investors and the funds will be used for general corporate purposes, it said in a release to the stock exchange.
The bank is offering up to $100 million of unsecured, unsubordinated, medium term, fixed rate bonds with the potential for oversubscriptions of up to $50 million. The bonds will mature on September 21, 2022 and have an indicative margin of 1.75 percent to 1.95 percent.
The actual margin - which could be above or below the indicative range - will be made following the bookbuild process, slated for Aug. 29. The interest rate will not be less than 4.5 percent.
The offer will open Aug. 30 and close Sept. 18. The notes are expected to be issued on Sept. 21.
Heartland Bank's net profit rose to $60.8 million, or 12 cents per share, in the 12 months ended June 30 from $54.2 million, or 11 cents, a year earlier. It expects net profit to be in the range of $65 million to $68 million in the current financial year.
The shares last traded at $1.86 and have gained 31 percent over the past 12 months.
(BusinessDesk)
Rebecca Howard
Mon, 21 Aug 2017
Mon, 21 Aug 2017
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Heartland Bank to offer up to $150 million in five-year bonds
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