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$100M tender successful

PA Wellington The Housing Corporation accepted bids with an average yield of 13.408 per cent in its tender of $lOO million of six year stock held on Thursday. The tender was the first in a programme to issue $5OO million of stock by next April. The Corporation said yesterday it had been very successful with bids totalling $354 million. The range of successful bids was 13.36 to 13.44 per cent. The stock offered will mature on September 5, 1994, and has a coupon rate of 10 per cent. The Corporation said it expected to issue about $2

billion of fixed rate stock before March 31, 1992, in view of the Government’s requirement for it to fund all its activities from private sector capital markets. In recent years, the Corporation has raised most of its loan requirements from offshore markets. The stock now to be issued into the local market carries a Government guarantee under the terms of the Housing Corporation’s act. It is intended to establish a secondary market in the stock. The National Bank of New Zealand, the Bank of New Zealand and Fay Richwhite and Co., have been appointed dealers.

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Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/CHP19880924.2.152.8

Bibliographic details

Press, 24 September 1988, Page 32

Word Count
195

$100M tender successful Press, 24 September 1988, Page 32

$100M tender successful Press, 24 September 1988, Page 32