Heartland Bank Limited launches note offer

Heartland Bank Limited launches note offer Date: 1 April 2019 Release: Immediate Heartland Bank Limited ("Issuer") today announced that it is offering up to $75,000,000 (with the ability to accept oversubscriptions at its discretion) of 5 year, unsecured, unsubordinated, fixed rate notes ("Notes" or "Offer"). The Offer is made pursuant to the Financial Markets Conduct Act 2013 as an offer of debt securities of the same class as existing quoted debt securities (being the Issuer's fixed rate notes which are quoted on the NZX Debt Market under ticker code HBL010). The notice required by the Financial Markets Conduct Regulations 2014 is attached. Full details of the Offer are set out in the attached terms sheet. A copy of the presentation that the Issuer will be giving to investors in connection with the Offer is also attached. The Notes will have a maturity date of 12 April 2024 and are expected to be quoted on the NZX Debt Market. They are expected to have an issue credit rating of BBB from Fitch Ratings Ltd. The indicative issue margin range is 1.75% per annum to 1.90% per annum. An announcement (via NZX) of the actual margin (which may be above or below the indicative margin range), the interest rate and the issue amount of the Notes will be made following the bookbuild process. This is expected to be on 5 April 2019. The interest rate will not be less than 3.50% per annum. Interest will be paid on the Notes semi-annually in arrear with the first interest payment due on 12 October 2019 (although because this is not a business day the payment will be made on Monday 14 October, without any interest adjustment). The Offer will open on 1st April 2019 and close on 5th April 2019. The Notes are expected to be issued on 12 April 2019, with initial quotation and trading of the Notes on the NZX Debt Market expected to occur on 15 April 2019. All of the Notes (including any oversubscriptions) have been reserved for the Joint Lead Managers (and their clients) and NZX Primary Market Participants and other institutional investors invited to participate in the bookbuild. Investors interested in the offer should contact any of the Joint Lead Managers (details below), a NZX Primary Market Participant, or their usual financial adviser, to obtain details as to how Notes may be acquired. There will be no public pool for the Notes. Ends For more information please contact: Joint Lead Managers o BNZ 0800 284 017 o Commonwealth Bank of Australia (acting through its New Zealand branch) 0800 272 633 o Deutsche Craigs Limited 0800 226 263 o Westpac Banking Corporation (ABN 33 007 457 141) (acting through its New Zealand branch) 0800 942 822 Heartland Bank Limited Michael Drumm General Counsel Michael.Drumm@heartland.co.nz T:(09) 927 9136 End CA:00332769 For:HGH Type:OFFER Time:2019-04-01 09:45:42