Capital Change Notice – Capital Bonds Allotment

Pursuant to NZX Listing Rule 3.13.1, Mercury NZ Limited announces that the following securities have been issued: Name of issuer: Mercury NZ Limited NZX ticker code: MCY020 Class of financial product: Unsecured, subordinated capital bonds ("Capital Bonds") ISIN: NZMCYDG002C0 Currency: New Zealand Dollars ($) Number issued: 300,000,000 Nominal value (if any): $1.00 Issue price per security: $1.00 Nature of the payment (for example, cash or other consideration): Cash Amount paid up (if not in full): Fully paid up Percentage of total class of Financial Products issued (calculated on the number of Financial Products of the Class, excluding any Treasury Stock, in existence): 100% For an issue of Convertible Financial Products or Options, the principal terms of Conversion (for example the Conversion price and Conversion date and the ranking of the Financial Product in relation to other Classes of Financial Product) or the Option (for example, the exercise price and exercise date): Not applicable Reason for issue and specific authority for issue (the reason for change must be identified here): The proceeds from the issue of the Capital Bonds will be used to fund the redemption of the MCY010 Bonds and for general corporate purposes. Issue pursuant to Board Resolutions on 25 February 2019 and 5 June 2019. Total number of Financial Products of the Class after the issue (excluding Treasury Stock) and the total number of Financial Products of the Class held as Treasury Stock after the issue: 300,000,000 In the case of an acquisition of shares, whether those shares are to be held as treasury stock: Not applicable Specific authority for the issue, acquisition, or redemption, including a reference to the rule pursuant to which the issue, acquisition, or redemption is made: Board Resolutions on 25 February 2019 and 5 June 2019. Rule 3.13.1 Terms or details of the issue, acquisition, or redemption (for example: restrictions, escrow arrangements): As set out in the terms sheet dated 19 June 2019 for the offer of the Capital Bonds Date of issue: 11/07/2019 Name of person authorised to make this announcement: William Meek, Chief Financial Officer Contact person for this announcement: Tim Thompson Contact phone number: 0275 173 470 Contact email address: investor@mercury.co.nz Date of release through MAP: 11/07/2019 End CA:00337542 For:MCY Type:SECISSUE Time:2019-07-11 16:26:01