ANZ New Zealand, owner of the ANZ and National banks, says it's considering making an offer of unsecured, unsubordinated bonds in what would be its first such public offer since July last year.
The bank said it had notified existing bondholders last month that it would repay early an issue of unsubordinated bonds at their September 15 call date. These were bonds in a NZ$350 million 10-year (subordinated lower tier two) issue that was callable after five years. They were paying interest of 7.16% per annum and would've been re-set, for another five years, at a margin of 75 basis points over the five year swap rate.
"A potential public bond issue will allow existing investors, with proceeds arising from the repayment of the subordinated bonds, and other members of the public, the opportunity to participate in ANZ New Zealand bonds for the first time since July 2010," ANZ said.
ANZ said a final decision on any issue, which would pay a fixed interest rate, will be made early next week.
"No money is currently being sought and no applications for the bonds will be accepted or money received unless the subscriber has received an investment statement."
ANZ's potential offer comes after recent highly successful retail bond offers from Air New Zealand and Z Energy.
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