Notes offer confirmed
Kiwi Capital Funding is to offer $150 million of perpetual capital notes to the public.
Tuesday, 21 April 2015
Proceeds of the offer will be used by KCFL to invest in regulatory capital instruments to be issued by Kiwibank, which will help Kiwibank meet its regulatory capital requirements under the Reserve Bank’s Basel III framework. If Kiwibank encounters severe financial difficulty or does not hold enough capital, the Kiwibank regulatory instruments may be converted into ordinary shares in Kiwibank or written off. If this happens, the returns on the notes may change or investors could lose their investment.
The notes have no fixed repayment date but may, subject to conditions, be repaid or purchased by a related company.
The interest rate will be set on May 1. Interest payments will be made quarterly, unless conditions are not met.
The indicative margin is 3.65% to 3.95% a year.
The notes are rated BB- by S&P, which reflects their ranking behind KCFL's other obligations, the discretionary interest payments and loss absorption features.
They are not guaranteed.
The offer is to open May 4 and close May 22.
Comments from our readers
No comments yet
Sign In to add your comment
Weekly Updates including news and commentary
Today's Best Bank Rates
Today's Top 5 Deposit Rates
Find a Rate
Cash PIE Rates
10 April 2017
12 January 2017
11 January 2017
21 November 2016
12 November 2016
Disclaimer - Every possible effort has been made to keep the information in the tables and on this site as accurate as possible, however, neither the publisher, Tarawera Publishing, nor anyone engaged to compile the rates and this site accept any liability for inaccuracies or any loss suffered as a result. It is strongly advised that readers check loan details with providers. The full terms and conditions of this site can be found here.
© Copyright 1997-2017. Tarawera Publishing Ltd. All Rights Reserved.