Australian racing and wagering giant Tabcorp said Monday it has successfully priced AU$300 million (US$195 million) of 5.5-year notes under a new wholesale Australian Medium Term Note (AMTN) Programme.
This, it explained, is the company’s first issuance on the AMTN market in 16 years and is part of Tabcorp’s capital management strategy aimed at improving its funding diversification and extend its debt maturity profile. The proceeds from the AMTN issuance will be used for general corporate purposes, including the repayment of drawn debt under the syndicated facility agreement, the company added.
The senior unsecured Notes carry a fixed coupon of 5.99% per annum and mature on 28 May 2031 with settlement is expected to occur on 28 November 2025, subject to customary closing conditions.
“Tabcorp last issued in the AMTN market in 2009 and we are pleased with the very strong interest from investors with our re-entry to this market,” said Tabcorp’s Chief Financial Officer, Mark Howell.
“The response reflects recognition of the positive changes which have been made across the Tabcorp business over the past 18 months. Today’s issuance forms part of our broader capital management strategy, adds further diversity to our funding sources via access to a new capital market, extends the tenor of our weighted average drawn debt maturity to 5.4 years and increases our liquidity to maximize our balance sheet strength.”
The issuance comes after it recently reported an 11.8% year-on-year increase in revenue to AU$2.61 billion (US$1.69 billion) and a 23.2% increase in EBITDA to AU$391.5 million (US$254 million) for the 12 months to 30 June 2025, aided by its reformed Victorian Wagering and Betting Licence and improved trading conditions.
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