Contact Energy, which last year said it would focus on reducing debt, is considering a $100 million offer of bonds it plans to list on the NZX debt market.
Wellington-based Contact plans to sell $75m of unsecured, unsubordinated five-year bonds to institutional and retail investors, with oversubscriptions of up to $25m, it said in a statement. Details for the offer will be released next week.
New Zealand's five-year swap rate fell 9 basis points to 2.96 per cent, while Contact shares were recently unchanged at $4.78.
Forsyth Barr and Westpac Banking Corp have been appointed joint lead managers and Deutsche Craigs as co-manager.
Last October, Contact chairman Ralph Norris told shareholders the electricity generator and retailer would focus on repaying debt over the next 12-to-18 months, having returned about $847m to shareholders in the two prior years.
