Tower buying back $200m in bonds

Tower, New Zealand's third-biggest fund manager for individuals, is proposing the early repurchase of $200 million of bonds.

It told the stock exchange that bondholders were being asked to vote on the proposal on September 15. The repurchase proposal is part of a plan to spin off the company's Australian unit.

Investors will receive 102 per cent of the issue price of the bonds plus accrued interest.