Spark Sustainability Bond 4.37% coupon maturing 29/09/2028

[mcdongle]

It says completed to institutional investors so they may only be tradable between them and not publicly

[Snoopy]

It says completed to institutional investors so they may only be tradable between them and not publicly

Yes I guess that is one possibility. But why would institutional investors be lining up to join an unlisted bond syndicate, when all previous Spark NZ bonds were publicly tradeable? I mean, having a bond listed does not mean as a holder you *must" trade it on market. There are off market trades reported in bond markets as well as share markets.

Of course with this 'sustainability' bond there is the prospect of the interest rate being reset upwards in 2026, if Spark fails to meet certain company emissions targets. I don't think there is much prospect of that. Spark would not have created such a bond if their plan 'on paper' for winding down company emissions was a real stretch target. Nevertheless the market would have to price in such a contingency. Could the market be trusted to do that in a rational way that would not make trading in this bond unstable? Maybe there is some sense in letting 'the suits' run such a bond, and keeping the ignorant fickle public well away?

SNOOPY