Ryman Healthcare closes NZ$150M retail bond offer
- Strong demand: Ryman's bond offer fully subscribed in 48 hours
- $150m raised: Offer upsized from the original $100m target
- Funding diversity: Bond market reopens for Ryman
- Turnaround continues: Positive cash flow first time in decade
The New Zealand-based continuum of care operator closed a fixed rate retail bond offer for the other side of the Tasman Sea after 72 hours.
Ryman Healthcare offered up to NZ$100 million (A$82.7 million) (with the ability to accept up to an additional NZ$50 million of oversubscriptions at the operator’s discretion) of six-year fixed rate bonds maturing on 22 June 2032 to institutional investors and New Zealand retail investors.
"The offer has closed and NZ$150 million of bonds have been allocated to participants (or their clients) involved in the bookbuild process," Ryman Healthcare said in a statement.
The issue margin for the bonds was set at 1.80% per annum over the swap rate of 3.92% per annum, with an interest rate of 5.72% per annum was set on 11 June.
CEO Naomi James said: “We’re very pleased with the breadth of demand from both existing and new bondholders. This offer has re-established Ryman as a repeat issuer in the bond market, and we look forward to returning to the market in the future as we continue to diversify our funding sources.”
On releasing its in FY26 annual report, for the period 1 April 2025 to 31 March 2026, Naomi reported Ryman Healthcare's first positive free cash flow result in over a decade at NZ$188 million, underpinned by cash release from developments and improved operational performance, with EBITDAF up 94% to NZ$88 million.
The Weekly SOURCE reported on 7 June Ryman Healthcare had sold a site approved for a new $155 million retirement living complex at Kealba, 15km northwest of Melbourne’s CBD, for A$30.85 million.
On 24 February 2025, Ryman Healthcare announced a NZ$1 billion equity raise to reset its balance sheet, enhance financial stability, and create a solid platform for long-term growth and improved performance. The proceeds from the equity raise was to be used exclusively to repay and cancel existing debt, with the exception of up to NZ$150 million available for future redrawing.
The business also completed a NZ$902.4 million equity raise in March 2023.
