Business

South Canterbury Finance completes repayment

19:57 pm on 27 February 2010

South Canterbury Finance says it has repaid the money it owed to five noteholders in a US private placement.

Investors in the $US100m placement were entitled to get their money back after Standard & Poor's lowered the company's credit rating to double B+ late last year.

South Canterbury says a final payment of $US24.3 million was made to the noteholders on Friday - ahead of the agreed final date of 31 March.

Chief executive Sandy Maier says a favourable liquidity position allowed an early exit from the disadvantageous terms imposed by noteholders.

Mr Maier also said a net inflow of funds that gathered momentum in January had extended through February.

The company intends to publish its half-year statements and provide an update on its capital restructure next week.