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Capital Notes: Heartland Bank Ltd, minimum 3.50%, 5 year unsecured unsubordinated

Heartland Bank Limited (Heartland) announced today that it is offering up to NZ$75 million (with the ability to accept oversubscriptions at Heartland’s discretion) of unsecured, unsubordinated fixed rate notes to institutional and New Zealand retail investors. The offer will open with an indicative margin range of 1.75 per cent to 1.90 per cent per annum, subject to a minimum interest rate of 3.50 per cent per annum.

Please note that you MUST read the Term Sheet before deciding to invest.

Summarised details of the note offer are below:

Issuer:                         Heartland Bank Limited.

Description:                Unsubordinated, unsecured, medium term, fixed rate notes.

Maturity Date:             12 April 2024.

Issue Amount:            Up to NZ$75,000,000, with the ability to accept oversubscriptions at the discretion of Heartland.

Interest Rate:               The Issuer has announced the indicative interest margin range for the Notes of 1.75% p.a. to 1.90% p.a. The interest rate will not be less than 3.50% p.a. Based on the swap rate on 1 April 2019 of 1.76% p.a. for the period until April 2024, the indicative issue margin implies a nominal interest rate for the Offer of 3.51% to 3.66% p.a. Note this is an indication only.  The actual nominal interest rate could be set higher, lower or within this indicative range, subject to the minimum of 3.50% p.a. The actual nominal rate is not expected to be known until after the bookbuild process on the Rate Set Date.

Issue Price:                  $1.00 per note.

Listing:                          The Issuer has made application for the Notes to be quoted on the NZX Debt Market, and it is a term of this offer that it will take any necessary steps to ensure that the Notes are quoted immediately after issue. NZX ticker code HBL020 has been reserved for the Notes.

Credit rating:                 BBB

Brokerage:                     Brokerage payable.

Minimum Application:  $5,000 and in multiples of $1,000 thereafter.


Important Dates 

Opening Date:               01 April 2019

Closing Date:                05 April 2019

Rate Set Date:               05 April 2019

Issue & Allotment:        12 April 2019

Quotation                       15 April 2019


If you wish to bid through us, you must read the Term Sheet and please advise your firm interest by no later than 5.00 P.M. Thursday, 4th April 2019.

There is no application for this offer, so FIRM INTEREST must be emailed to Equity Investment Advisers. Reminder that brokerage is payable on this offer.

Please note that you MUST read the Term Sheet before deciding to invest.


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 notes. No money is sought at this point.

Please note the allocation may be scaled depending on availability.