Bond offer

Kiwi Property Group Limited (Kiwi Property) confirmed today that it is offering up to $100 million (plus up to $25 million of oversubscriptions) of seven-year fixed-rate senior secured bonds maturing on 12 November 2025 to institutional and New Zealand retail investors. The offer opens today and will be made pursuant to the Financial Markets Conduct Act 2013 as an offer of debt securities of the same class as existing quoted debt securities. The notice required by the Financial Markets Conduct Regulations 2014 has been provided to NZX and is attached. The bonds are expected to be quoted on the NZX Debt Market. The bonds are expected to be assigned an issue credit rating of BBB+ by S&P Global Ratings [NOTE 1]. Kiwi Property's current corporate credit rating is BBB (stable). Full details of the bond issue are contained in the terms sheet which has been prepared for the offer and is also attached, as is an investor presentation on the bond offer. The offer will open with an indicative margin range of 1.45 per cent to 1.55 per cent, subject to a minimum interest rate of 4.00 per cent. An announcement of the actual margin (which may be above or below the indicative margin range mentioned above) and the actual interest rate on the bonds will be made following the bookbuild process, expected to be on 2 November 2018. The terms sheet will be updated to include the margin and the interest rate and will be released on the same day. There is no public pool for the offer, with all the bonds being reserved for clients of ANZ Bank New Zealand Limited, Deutsche Craigs Limited and Westpac Banking Corporation (ABN 33 007 457 141) (acting through its New Zealand branch) (as Joint Lead Managers), Forsyth Barr Limited (as Co-Manager), NZX participants and other approved financial intermediaries. The offer will close on 2 November 2018. Interested investors should contact the Joint Lead Managers, the Co-Manager or their usual financial adviser for more details. For further information please contact: JOINT LEAD MANAGERS ANZ Bank New Zealand Limited 0800 269 476 Deutsche Craigs Limited 0800 226 263 Westpac Banking Corporation (ABN 33 007 457 141) (acting through its New Zealand branch) 0800 942 822 CO-MANAGER Forsyth Barr Limited 0800 367 227 NOTE 1: Further information about S&P Global Ratings' credit rating scale is available at www.standardandpoors.com. A rating is not a recommendation by any rating organisation to buy, sell or hold Kiwi Property securities. Kiwi Property's corporate credit rating is current as at the date of this announcement and (together with any rating ascribed to the bonds) may be subject to suspension, revision or withdrawal at any time by S&P Global Ratings. > Ends CONTACT US FOR FURTHER INFORMATION Gavin Parker Chief Operating Officer gavin.parker@kp.co.nz +64 9 359 4012 Stuart Tabuteau Chief Financial Officer stuart.tabuteau@kp.co.nz +64 9 359 4025 ABOUT US Kiwi Property (NZX: KPG) is the largest listed property company on the New Zealand Stock Exchange and is a member of the S&P/NZX 15 Index. We've been around for more than 20 years and we proudly own and manage a $3.0 billion portfolio of real estate, comprising some of New Zealand's best shopping centres and prime office buildings. Our objective is to provide investors with a reliable investment in New Zealand property by targeting superior risk-adjusted returns over time through the ownership and active management of a diversified, high-quality portfolio. S&P Global Ratings has assigned Kiwi Property a corporate credit rating of BBB (stable) and an issue credit rating of BBB+ for each of its existing fixed rate senior secured bonds. Kiwi Property is licensed under the Real Estate Agents Act 2008. To find out more, visit our website kp.co.nz End CA:00325871 For:KPG Type:OFFER Time:2018-10-29 08:30:17