AUCKLAND: Oceania Healthcare Limited is raising up to $75 million through fixed rate bonds to repay bank debts.
Oceania Healthcare Limited is issuing up to $75 million (with the ability to accept oversubscriptions of up to $25 million) of seven year secured fixed rate bonds to New Zealand institutional and retail investors.
The proceeds of this offer are expected to be used to repay a portion of Oceania’s existing bank
debt, providing Oceania with diversity of funding and tenor and helping facilitate Oceania’s
further growth.
The offer opens Monday and will be made pursuant to the Financial Markets Conduct Act 2013 as an offer of debt securities of the same class as existing quoted debt securities.
The interest rate for the Bonds will be set on the rate set date as being equal to the swap rate plus the issue margin, subject to a minimum interest rate of 3.20% per annum.
The indicative issue margin range for the Bonds is 1.45% to 1.60% per annum.
An announcement of the actual margin and interest rate is expected to be made via NZX on 3 September 2021 following a bookbuild process.
The Bonds are expected to be quoted on the NZX Debt Market.
Application has been made to NZX for permission to quote the Bonds on the NZX Debt Market and all the requirements of NZX relating to that quotation that can be complied with on or before the date of distribution of the Terms Sheet have been duly complied with.
However, the Bonds have not yet been approved for trading.
The offer is expected to close on 3 September 2021.