UPDATE 1-Australia’s ElectraNet secures $350 mln private bond

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SYDNEY, April 8 (BestGrowthStock) – Australian electricity firm
ElectraNet has secured US$350 million in a U.S. private
placement bond debut to refinance debt and fund capital works,
it said on Thursday.

The senior secured notes were evenly split between four and
six years and are expected to be drawn down in August, it said.

ElectraNet did not give pricing details but a source
familiar with the terms said both tranches of US$175 million
each paid 150 basis points over U.S. Treasury.

ANZ, JPMorgan and National Australia Bank jointly arranged
the offer, ElectraNet said.

ElectraNet has A$100 million of triple-A rated bonds
wrapped by Assured Guaranty due on Aug. 20.

The company also has A$380 million of notes maturing in
2012. The U.S. private placement market has been a popular
source of funds for Australian companies looking for long-dated
debt, with 10 companies raising around US$3 billion there in
2009, according to Reuters data.

Typical buyers of U.S. traditional private placements are
“buy and hold” U.S. insurance companies keen on long-dated
paper to match their assets.

ElectraNet is the sole electricity-transmission business in
South Australia with most of its revenue derived from regulated
business. It is rated BBB by S&P.

Stock Today

(Reporting by Cecile Lefort, Editing by Balazs Koranyi)

UPDATE 1-Australia’s ElectraNet secures $350 mln private bond