Fletcher Building raises $150m from Japanese investors

File photo / Paul Taylor

Fletcher Building said it had raised 10 billion yen (NZ$150 million) in long-term debt through a private placement of notes offered to Japanese institutional investors.

The notes have a fixed rate coupon and have been issued for a term of 15 years, Fletcher Building said.

The proceeds of the placement have been swapped to floating Australian dollars and have been used to repay existing borrowings drawn under Fletcher Building's principal bank facilities.

"We are very pleased to be able to issue 15 year debt in a new currency with a new investor base," Fletcher Building chief financial officer, Bill Roest said.

The issue further diversified the company's debt funding sources and lengthened the duration of Fletcher Building's debt portfolio, he said in a statement.

The notes were issued under Fletcher Building's newly established multi-currency Australian medium term note programme.