LGFA fixed rate bond offer: Bookbuild update 3

NZX Announcement
09 April 2020

On 8 April 2020, New Zealand Local Government Funding Agency Limited (LGFA) announced that it is offering up to NZ$300 million unsecured, unsubordinated, fixed rate bonds with a maturity date of 15 April 2026 (Bonds) to institutional and New Zealand retail investors, with the ability to accept unlimited oversubscriptions at LGFA’s discretion.

Full details of the Bond offer are contained in the Series Notice which was attached to the launch announcement on 8 April 2020.

The bookbuild process is underway. An update is set out below.

Bookbuild orders

As at 11.35 am NZT in excess of NZ$1.3 billion within the revised indicative Margin below (including NZ$100,000,000 of Bonds reserved for subscription by LGFA and interest from the Joint Lead Managers).

Based on orders to date, LGFA expects to issue $1.1 billion of Bonds.

Indicative Margin

The indicative Margin range set out in the Series Notice was 0.78 – 0.83 per cent per annum. The indicative Margin is now 0.78 per cent per annum.

Indicative Issuance Yield

Based on the indicative Margin, 1.518 per cent per annum

Closing Date

Bids due by 1pm NZT, 9 April 2020

ISIN NZLGFDT014C0

Joint Lead Managers

ANZ
Phone: 0800 269 476

Bank of New Zealand
Phone: 0800 284 017

CBA
Phone: 0800 272 266

Westpac Banking Corporation
Phone: 0800 942 822

For all investor relations and media queries, please contact:

Mark Butcher, Chief Executive
mark.butcher@lgfa.co.nz/04 974 6744

9 Apr 2020