Meridian Energy Ltd (NZX: MEL; ASX: MEZ) said this week it would be offering up to $NZ150 million in unsecured, unsubordinated fixed rate bonds to institutional and New Zealand retail investors.
There would also be an ability to accept up to $NZ50 M in oversubscriptions.
The bonds are expected to be quoted on the NZX Debt Market and have a long term credit rating of BBB+ from S&P Global Ratings.
Meridian said the bonds have a maturity date of June 27, 2025 and an indicative margin for the bonds is 1.3% to 1.4% per annum, subject to a minimum interest rate of 4.2% pa.
The margin and interest rate will be set following a bookbuild process on Friday and the offer will close on that day, with bonds expected to be issued on June 27.
The company said there is no public pool for the bonds, which will be reserved for the clients of ANZ Bank New Zealand Ltd, Westpac Banking Corporation (acting through its New Zealand branch), Deutsche Craigs Ltd, Forsyth Barr Ltd and NZX participants.