Silver Fern Farms says it will repay five-year bonds which mature on December 15, 2010 a month early.
It was able to repay the bonds ahead of schedule after re-negotiating its banking partnerships for the next two years. The new syndicate involves Rabobank, HSBC, Westpac and Commonwealth Bank of Australia.
The repayment of debt would help reduce interest costs, the company said. The $75 million of bonds are listed on NZDX and have a coupon rate of 10.25 percent.
The company said when releasing its interim accounts that as at February 28 it had bank debt totalling $205.4 million and bonds on issue totalling $76 million.
The bank debt was reduced by $102.8m from a year earlier and the total of bonds was reduced by $50.3m.
