Vocus Group is believed to have refinanced about $1bn of bank debt to remain in good shape during the COVID-19 disruptions.
The company’s net debt position was about $1bn at December and its market value is close to $2bn.
While the Vocus share price took a dive during April due to the COVID-19 disruptions, it has strongly rebounded in line with the market, with its share price now higher than what it was at the beginning of this year.
It is understood that Vocus refinanced about $1bn of Australian debt this week ahead of when it was due at a cheaper rate for capital spending.
However, the company did not comment.
Vocus is considered to have had a large debt load, and last year there were suggestions it was planning to sell or float at least half of its New Zealand operations to reduce its gearing.
The New Zealand business was earlier estimated to be worth at least $500m.
Some question whether the group may also raise equity.
The other company said to be moving to tap the debt markets to boost its funding position is Sky City Entertainment.
Earlier, the thinking had been that the casino company would be trying to raise equity.
Sky City told the market it would finalise its funding plan in the next few weeks.
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