ANZ New Zealand, the country's biggest bank, says it's considering making an offer of unsecured, unsubordinated bonds to retail investors.
The bank says it plans to repay an issue of subordinated bonds early on their call date of March 2 this year. These bonds, with a face value of NZ$250 million, aren't set to mature until March 2, 2017. They're currently paying a coupon of 7.6% (five-year swap plus 76 basis points), which is due to be reset on March 15 this year. These bonds are listed on the NZX debt market.
"A potential public issue of new bonds will allow existing investors, with proceeds arising from the repayment of the existing bonds, and other members of the public, the opportunity to participate in ANZ New Zealand new bonds," the bank said.
"A final decision on any offer will be made in mid February 2012."
The bank said it's now seeking preliminary indications of interest in the new bond.
See the bank's bond issuer page here.
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