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Kiwi Capital Funding Limited (KCFL) is considering making an offer of up to $100 million of unsecured subordinated Capital Notes to the New Zealand public

Bonds
Kiwi Capital Funding Limited (KCFL) is considering making an offer of up to $100 million of unsecured subordinated Capital Notes to the New Zealand public
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Kiwibank's looking to raise up to $100 million of capital to help it meet its regulatory capital requirements.

A statement from the bank said that Kiwi Capital Funding Limited (KCFL), a recently established indirect subsidiary of Kiwibank's parent NZ Post, was considering making an offer of up to $100 million of unsecured subordinated Capital Notes to the New Zealand public.

Proceeds of the offer of Capital Notes would  be used to invest in convertible subordinated bonds to be issued by Kiwibank Limited, which would help Kiwibank meet its regulatory capital requirements under the Reserve Bank’s Basel III framework.

The Capital Notes will not be guaranteed by Kiwibank or New Zealand Post or any other person.

The joint lead managers to the offer are Deutsche Craigs and Forsyth Barr.

The statement said it was expected that the offer of Capital Notes would be made in the week commencing 5 May 2014. No money was currently being sought and no applications for Capital Notes will be accepted or money received unless the subscriber has received an Investment Statement. Indications of interest will not involve an obligation or commitment of any kind.

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