Auckland Airport completes new $300M bond issue
By Liezl GambeKey points
- Auckland Airport raised $300 million through a new six-year Australian medium-term note issue.
- Institutional investor orders exceeded $10 billion, while Aukland Airport shares fell to $7.22 on the ASX.
- The company stated the proceeds will help fund its ongoing infrastructure investment programme.
Auckland International Airport (ASX:AIA) has raised $300 million by issuing six-year fixed-rate bonds in Australia to help fund its infrastructure projects.
The sale marks Auckland Airport’s fourth entry into the Australian debt market and follows a New Zealand retail bond issue earlier this month.
“Following our recent New Zealand retail bond, we are very pleased with the depth of support for Auckland Airport across both domestic and offshore debt markets raising over $700 million in capital to fund our transformational investment programme,” said Auckland Airport Chief Financial Officer Stewart Reynolds.
The wholesale bonds mature on Nov. 19, 2032, drew more than $10 billion in institutional orders, and are expected to receive an A- credit rating from S&P Global.
Following the announcement, the Auckland Airport share price was down at $7.22.
Auckland Airport is executing a major capital programme that includes building an integrated domestic jet terminal while managing 19.04 million annual passenger movements.
The company’s recent milestones include reporting $1,036 million in annual revenue for the 2026 financial year, releasing an updated master plan in June, paying a 6.75-cent final dividend in October, and warning of potential flight disruptions from planned firefighter strikes later in November.
