APN bond offer raises $100m

Brendan Hopkins, chief executive of APN. Photo / Brett Phibbs

APN News & Media has raised $100 million from institutional investors through a bond offer and will now open it to investment from the public.

APN Media NZ, a subsidiary of APN which owns the Herald, hoped to raise up to $150 million in total with the option of a further $50 million in oversubscriptions.

APN chief financial officer Peter Myers said a recent banking extension had given the company more flexibility in funding options.

"With this flexibility in mind, and having regard to recent market movements in interest rates, we have decided to limit the minimum interest rate to 7.8 per cent and accepted the $100 million in offers as this is sufficient to satisfy our funding diversification objectives."

The bonds will now be marketed to retail investors between November 15 and December 10.