Airports

March 11, 2019
 

Kiwis return to bond market

Wellington International Airport is eyeing up a NZD100 million ($68 million) bond offering as companies continue to take advantage of the cheap money available through the listed debt market.

The airport operator, which is controlled by Infratil, is considering an 11-year bond offer of $75 million, with oversubscriptions of $25 million.

The interest rate on unsecured, unsubordinated bonds would reset at some point.

ANZ Bank has been hired as arranger, with ANZ, Deutsche Craigs and Forsyth Barr as joint lead managers.

First NZ Capital and Hobson Wealth Partners are co-managers for the offer, which is expected to open in mid-March.

Wellington Airport’s debt was NZD480.6 million at the end of September through a series of retail and wholesale bonds, and an undrawn banking facility.

The airport has NZD25 million of wholesale bonds maturing in June and a further NZD25 million of wholesale debt coming due in June 2020.