Borrowing Programmes

Medium term notes

All medium-term notes on issue, and expected future issuance, are classified as Wellbeing Bonds under Kāinga Ora’s Sustainability Financing Framework.

Read our Sustainability Financing Framework [PDF, 2.4 MB].

All issuance to date has been via syndication, with a tendering programme planned for later in 2020 calendar year. In addition, we are open to reverse enquiry from permitted wholesale investors for longer-dated medium term note issuances.

Medium-term notes on issue as at 2 September 2020

Maturity Coupon Amount on issue Issue date of first tranche
12 June 2023 2.97% $300 million 12 June 2018
12 June 2025 3.36% $1,175 million 12 June 2018
5 October 2026 2.247% $900 million 5 April 2019
18 October 2028 3.42% $425 million 18 October 2018
24 April 2030 2.183% $500 million 24 April 2020
10 September 2035 1.534% $500 million 10 September 2020
Total on issue $3,800 million  

Inflation-indexed medium-term notes on issue as at 31 August 2020

Maturity Coupon Amount on issue Issue date of first tranche
20 September 2040 2.50% $300 million 1 May 2020
Total on issue $300 million  

Notes offered to investors are unsecured and unsubordinated, subject to negative pledge provisions,  expected to be repo-eligible with RBNZ and offered to domestic and offshore (in certain jurisdictions) institutional investors. In addition, the Approved Issuer Levy is paid by HNZL.

All Notes have a wholesale listing on the NZX Debt Market(external link).

Detailed information on these programmes is available in the Information Memorandum and Note Deed Poll , as well as terms sheets related to all issuance.

Commercial paper

HNZL’s NZD commercial paper programme has a $1,500 million limit. Detailed information on this programme is available in the Deed Poll.

Regular tenders of $25 million occur on a fortnightly basis and private placements as required. 

As at 31 August 2020, there was $550 million of Commercial Paper on issue.

Credit Ratings

HNZL is 100% owned by Kāinga Ora – Homes and Communities. HNZL has credit rating assigned from both Moody's Investor Service (Moody's), and Standard and Poor's Global Ratings (S&P). Both ratings are equalised with the New Zealand Sovereign.

Moody's credit ratings for Kāinga Ora - Homes and Communities and HNZL – latest update 8 November 2019

Rating type Rating Outlook
Local currency LT Aaa Stable
Local currency ST P-1  
Foreign currency LT Aaa Stable
Foreign currency ST P-1  


Moody's also assigns long-term ratings for Kāinga Ora - Homes and Communities. These local and foreign currency ratings are both Aaa. 

S&P credit ratings for Kāinga Ora - Homes and Communities and HNZL – latest update 27 February 2020

Rating type Rating Outlook
Local currency LT AA+ Positive
Local currency ST A-1+  
Foreign currency LT AA  Positive
Foreign currency ST A-1+  

 

A credit rating is not a recommendation to buy, sell or hold any securities and may be subject to suspension, change or withdrawal at any time by the assigning rating agency.

 

Disclaimer

The information on this webpage is issued by Kāinga Ora - Homes and Communties for informational purposes. To the extent that this webpage refers to an offer of securities, no offer is made to anyone accessing this webpage outside of New Zealand and otherwise than in compliance with any applicable securities laws or regulations. To the extent that this webpage refers to any offer of securities to any person in New Zealand, such offer will be made to only wholesale investors and in accordance with the Financial Markets Conduct Act 2013 (FMCA).

Users accessing this webpage acknowledge and accept that they will comply with any applicable securities laws or regulations (including, without limitation, the FMCA).

Page updated: 2 September 2020