The electricity generator and retailer in May flagged its intention to repay maturing bonds by offering investors the opportunity to roll over the debt in combination with a retail offer, which opens today.
BUSINESSDESK: TrustPower, the utility controlled by Infratil, has set a 6.75% interest rate on its seven-year bonds, which it is issuing to help repay maturing bonds and for working capital.
In May, the electricity generator and retailer flagged its intention to repay maturing bonds by offering investors the opportunity to roll over the debt in combination with a retail offer.
TrustPower today opened its unsecured, subordinate, September 15, 2019, bond offer of $75 million of the debt and a $75 million exchange offer for holders of its September 14, 2012, bonds.
The general offer will remain open until September 11 and the exchange offer until August 29.
The 2012 bonds pay annual interest of 8.5% and traded yesterday at a yield of 5.4% on the NZDX.
The stock last traded at $7.73 and has gained 9% so far this year.
