08 November 2021

Contact announces indicative pricing for green Capital Bond offer

Contact Energy Limited (Contact) has announced an offer of up to $200 million (with the ability to accept oversubscriptions of up to an additional $25 million at Contact’s discretion) of unsecured subordinated green capital bonds (Capital Bonds) to New Zealand retail and institutional investors.

The offer opens today, 8 November 2021, and is expected to close at 12:00pm, on 12 November 2021.

The indicative margin range for the Capital Bonds is 1.65% to 1.85% per annum. The actual margin (which may be above or below the indicative margin range) and the interest rate for the first five years (which will be subject to a minimum interest rate of 4.15%) will be determined following a bookbuild process on 12 November 2021 and will be announced by Contact via NZX shortly thereafter. 

For so long as the Capital Bonds remain outstanding, the interest rate will be reset at five-yearly intervals to be equal to the sum of the five-year swap rate, the margin and a step-up of 0.25%, unless otherwise determined as part of a successful election process.

The Capital Bonds are expected to be issued on 19 November 2021 and quoted on the NZX Debt Market on 22 November 2021.

Details of the offer and the Capital Bonds are contained in the PDS, which is available on the online Disclose Register maintained by the Companies Office (www.business.govt.nz/disclose, offer number OFR13200) or by contacting one of the Joint Lead Managers to the offer (listed below) or your usual financial adviser.

There is no public pool for the offer, with all of the Capital Bonds being reserved for clients of the Joint Lead Managers, NZX participants and other approved financial intermediaries.



Bank of New Zealand - 0800 284 017

Craigs Investment Partners Limited - 0800 226 263

Forsyth Barr Limited - 0800 367 227