Genesis to offer up to $225 million in bonds

State-owned electricity generator Genesis Energy is offering a public issue of up to $225 million in corporate bonds. The offer, of $150 million plus up to $75 million in oversubscriptions, is expected to open on December 3 and close on December 19.

The bonds will be used for general corporate purposes – in particular the repayment of debt which comes up for refinancing soon., rather than financing new projects by the company.

Genesis said in its statement that although it was owned by the government its bonds were not guaranteed by the Crown. Standard & Poors has assigned an investment grade rating for the company of BBB+.

(This is broadly in line with the previous government’s goal of a BBB benchmark credit rating for SOEs; ratings agencies are understood to “bump up” SOEs by about one grade to reflect the government ownership.)

The minimum coupon rate for each tranche of bonds – maturing in March 2014 and 2016 respectively - will be set around December 3.

Details of the issue are on Genesis’ website 

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

Comment & Question

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 0.7902 0.0017 0.22%
AUD 0.9095 0.0011 0.12%
EUR 0.6383 0.0008 0.13%
GBP 0.5050 0.0008 0.16%
HKD 6.1293 0.0096 0.16%
JPY 93.0140 0.1280 0.14%

Commods

Commodity Price Change Time
Gold Index 1201.1 7.690 2014-11-21T00:
Oil Brent 78.6 -0.120 2014-11-21T00:
Oil Nymex 76.5 0.710 2014-11-21T00:
Silver Index 16.4 0.260 2014-11-21T00:

Indices

Symbol Open High Last %
NZX 50 5526.9 5526.9 5526.9 -0.56%
NASDAQ 4751.0 4751.6 4701.9 0.24%
DAX 9521.2 9736.1 9484.0 2.62%
DJI 17721.0 17894.8 17719.0 0.51%
FTSE 6678.9 6773.1 6678.9 1.08%
HKSE 23353.7 23508.0 23349.6 0.37%
NI225 17285.7 17381.6 17300.9 0.33%