Fletcher Building capital notes roll over at 5.4% from 8.9%

Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.

Launch Radio player

The impact of low global interest rates on corporate funding needs is well demonstrated in the announcement by Fletcher Building of the rollover terms on $75 million of capital notes that mature on March 15.

The long-dated corporate bonds are currently paying 8.9 percent annually, but the rate on offer at rollover until March 15, 2019, is 3.5 percentage points lower, at 5.4 percent a year.

Noteholders can retain some or all of their notes on the new terms or have them paid out. Fletcher Building is exercising the option to pay cash rather than convert the notes to ordinary shares in the company.

Noteholders have until February 26 to make their election.

(BusinessDesk)


Got a question about this story? Leave it in Comments & Questions below.

This article is tagged with the following keywords. Find out more about MyNBR Tags

Comments & Questions

Commenter icon key: Subscriber Verified

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.6649 -0.0033 -0.49%
AUD 0.8917 0.0017 0.19%
EUR 0.6047 0.0043 0.72%
GBP 0.4275 -0.0016 -0.37%
HKD 5.1563 -0.0304 -0.59%
JPY 81.0130 -1.0840 -1.32%

Commods

Commodity Price Change Time
Gold Index 1163.5 -2.500 2015-07-02T00:
Oil Brent 62.6 -0.180 2015-07-02T00:
Oil Nymex 56.9 -0.010 2015-07-02T00:
Silver Index 15.6 -0.015 2015-07-02T00:

Indices

Symbol Open High Last %
NZX 50 5840.9 5840.9 5840.9 -1.10%
NASDAQ 5024.3 5027.5 5013.1 -0.08%
DAX 10825.1 10951.6 11058.4 -1.17%
DJI 17763.3 17825.5 17757.9 -0.16%
FTSE 6585.8 6585.8 6585.8 -0.46%
HKSE 26084.0 26261.5 26064.1 -3.18%
NI225 20200.2 20310.7 20539.8 -2.08%