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Auckland International Airport, 6 Year Fixed Rate Bond

Auckland International Airport Limited ("Auckland Airport") confirmed today that it is offering up to NZ$125,000,000 of six year fixed rate bonds (with the ability to accept up to NZ$50,000,000 in oversubscriptions at Auckland Airport's discretion) (the "Bonds") to New Zealand retail investors and to institutional investors.

Summarised details of the offers are below:

Issuer:                                  Auckland International Airport Limited

Description:                         Direct, unsecured, unsubordinated, fixed rate debt

Maturity Date:                      Thursday, 10 October 2024 (6 year)

Size:                                      Up to NZ$125,000,000 of six year fixed rate bonds (with the ability to accept up to NZ$50,000,000 in oversubscriptions at Auckland Airport's discretion)

Minimum Interest Rate:       Based on the swap rate on 24 September 2018, of 2.54%p.a. for the period until October 2024, the indicative issue margin implies a nominal interest rate for the offer of 3.49% to 3.59%p.a. This is an indication only.  The actual nominal interest rate could be set higher, lower or within this indicative range. The actual nominal rate is not expected to be known until 26 September 2018, after the book build.

The indicative margin range is 0.95 per cent to 1.05 per cent per annum for the Bonds. The actual Margin for the Bonds, (which may be above or below the abovementioned indicative margin range), will be set by Auckland Airport (in consultation with the Joint Lead Managers) on the Rate Set Date following a bookbuild by the Joint Lead Managers. The actual Margin will be announced by Auckland Airport via NZX on or shortly after the Rate Set Date.

Interest Payments:                Semi-annually on 10 April and 10 October each year up to and including the Maturity Date

Listing:                                   Application has been made to NZX for permission to quote the Bonds on the NZX Debt Market with a ticker code of AIA230.

Credit rating:                              A- S&P Global

Brokerage:                             Brokerage payable by investors.

Minimum Application:          $10,000 and in multiples of $1,000 thereafter


Important Dates 

Opening Date:    24 September 2018

Closing Date:     26 September 2018, 2:00 P.M.

Rate Set Date:    26 September 2018

Issue Date:         10 October 2018

Quotation           11 October 2018

If you wish to bid through us, please advise your demand number by no later than 5.00 PM Tuesday, 25th September 2018.


PLEASE NOTE: If you have not already supplied us with the following, we will require a certified copy of valid ID (such as a drivers licence), proof of address and proof of banking details (such as a banking statement). We will ONLY accept your firm interest if you supply the above.


Term Sheet


We strongly recommend you discuss with your adviser at Equity Investment Advisers Ltd to ensure you understand the terms and conditions.

If this offer is of interest to you please register your interest  below so that we can contact you

Expression of Interest click here

Registering your interest does not have any obligation to purchase these bonds. No money is sought at this point.

Please note the allocation may be scaled depending on availability.