Kiwibank Considers Offer of Perpetual Preference Shares

KIWIBANK LIMITED CONSIDERS AN OFFER OF PERPETUAL PREFERENCE SHARES Kiwibank Limited (Kiwibank) is considering making an offer of up to $100 million (with the ability to accept oversubscriptions at Kiwibank's discretion) of perpetual preference shares (PPS) to New Zealand investors. The PPS are expected to constitute Additional Tier 1 Capital for Kiwibank’s regulatory capital requirements. The PPS will not have a fixed term and will remain on issue indefinitely if not redeemed by Kiwibank. If certain conditions are met, Kiwibank may redeem the PPS after 5 and a half years and on each quarterly Scheduled Distribution Payment Date after that date, or at any time for tax or regulatory reasons. The PPS are expected to have a credit rating of Ba1 from Moody’s Investors Service. If Kiwibank offers the PPS, the offer will be made in accordance with the Financial Markets Conduct Act 2013. It is expected that further details of the offer will be released later this week and that the proposed offer will open on 14 October 2024, subject to market conditions. Forsyth Barr Limited (Forsyth Barr) is the Arranger and Bank of New Zealand, Craigs Investment Partners Limited and Forsyth Barr have been appointed as Joint Lead Managers in relation to the proposed offer. Investors can register their interest in the offer by contacting a Joint Lead Manager or their usual financial advice provider. Indications of interest will not constitute an obligation or commitment of any kind to acquire PPS. No money is currently being sought and applications for the PPS cannot currently be made. The PPS are expected to be quoted on the NZX Debt Market.