Mercury Nz Ltd. · NZX:MCY
Mercury Nz — Debt Investor Presentation (March 2026)
21 slides from Mercury Nz's debt investor presentation, Mar 23, 2026
Slide 1: Green Bond Offer
BETTER BUILDING BRIGHTER Green Bond Offer RICHARD HOPKINS GEOFF SMITS 23 March 2026 Chief Financial Officer Head of Corporate Finance & Treasury
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Mercury NZ Limited ("Company" or "Mercury") for informational purposes. This disclaime r applies to this document and the verbal or written comments of any person presenting it. Information in this presentation has been prepared by the Company with d
Slide 3: Important Information
IMPORTANT INFORMATION The offer (“Offer”) of Green Bonds by Mercury described in this presentation is made in reliance upon the exclusion in clause 19 of schedule 1 of the Financial Markets Conduct Act 2013 (“FMCA”). The Offer is an offer of debt securities that have identical rights, privileges, li
Slide 4: Transaction at a Glance
TRANSACTION AT A GLANCE 7-year senior unsecured Green Bonds– refinancing eligible green assets / projects Issuer Mercury NZ Limited • Net proceeds to be applied to refinance existing Expected Issue corporate debt BBB+ by S&P Global Ratings Rating • Proceeds to be notionally allocated to finance / re
Slide 5: Mercury – Credit Snapshot (BBB+)
MERCURY – CREDIT SNAPSHOT (BBB+) BBB+ credit, managed within through-cycle financial policy • Target leverage: Net Debt / EBITDA–2x 3x (S&P adjusted) • SIB CAPEX funded first– protects availability and through the cycle compliance • Investment decisions staged to remain within policy • Growth CAPEX
Slide 6: Mercury Highlights
MERCURY HIGHLIGHTS Resilient cash generation, SIB-first discipline, and gated growth investment • Diversified hydro / geothermal / wind portfolio plus • $150m p.a. planned, recurring reliability / compliance customer platform supports stable cash generation investment that is funded first (protects
Slide 7: Key Terms of the Green Bonds
KEY TERMS OF THE GREEN BONDS Issuer Mercury NZ Limited Offer Amount Up to $200,000,000 (with the ability to accept oversubscriptions of up to an additional $50,000,000 at Mercury’s discretion) Issue Price $1.00 per Green Bond, being the Principal Amount of each Green Bond The Green Bonds will pay a
Slide 8: Key Dates
KEY DATES Opening Date Monday, 23 March 2026 Closing Date 11:00am NZT, Wednesday, 25 March 2026 Rate Set Date Wednesday, 25 March 2026 Issue Date and Allotment Date Wednesday, 1 April 2026 Expected Date of Initial Thursday, 2 April 2026 Quotation on NZX Debt Market Maturity Date Friday, 1 April 2033
Slide 9: Disciplined Balance Sheet Management
DISCIPLINED BALANCE SHEET NET DEBT 1 AND NET DEBT / EBITDA MANAGEMENT 3 Net Debt ($b) & Net Debt / EBITDA (x) Capital structure managed through -cycle within target range • Mercury targets Net Debt / EBITDA between 2x– 3x after adjusting for S&P 2 Global treatment, consistent with our BBB+ rating •
Slide 10: Operational and strategic delivery – HY26 scoreboard
Operational and strategic delivery– HY26 scoreboard Execution and guardrails: investing at scale within BBB+ metrics • HY26 EBITDAF $537m (+28%) driven by higher renewable generation and cost discipline • Customer platform: 40% of customers now multi -product, improving value per customer • Hydro re
Slide 11: Protecting Availability of Our Generation Assets
PROTECTING AVAILABILITY OF OUR SIB CAPEX GENERATION ASSETS 80 (5) (2) (1) (1) Lowerdrilling and hydro asset spend for HY26 60 SIB Capex ($m) • Stay-In-Business drilling decreased as resources shifted to the Rotokawa drilling field to complete the drilling campaign 40 73 • Spend on major hydro resili
Slide 12: Disciplined Investment Decisions as We Target 3.5 TWh by 2030
DISCIPLINED INVESTMENT DECISIONS AS WE TARGET 3.5 TWH BY 2030 Estimated Project status Capacity Next investment gate & Project output Progress update (MW) Consent Procure Construct Commission timing targeted (GWh) Final commissioning at full generation is OEC5 Geothermal 46 390 Fully online – Q3 FY2
Slide 13: Proven Geothermal Capability with Successful Delivery of OEC5
PROVEN GEOTHERMAL CAPABILITY WITH SUCCESSFUL DELIVERY OF OEC5 Successfully deliveredNgā Tamariki OEC5 on budget and time • First generation on 19 January 2026 and reached 100% output a few days later on 23 January • The unit has been continuing through commissioning since then with various testing a
Slide 14: Leading Wind Delivery in New Zealand – Projects Tracking on Time and on Budget
LEADING WIND DELIVERY IN NEW ZEALAND– PROJECTS TRACKING ON TIME AND ON BUDGET KAIWERA DOWNS S2 WIND 155MW and 525GWh KAIWAIKAWEWIND 77MW and 221GWh • Southland location • Northlandlocation • On time and on budget • On time and on budget • First generation expected by May 2026 with 11 • First generat
Slide 15: Policy Solutions to the Transition Challenges
POLICY SOLUTIONS TO THE TRANSITION CHALLENGES Recent independent advice for the Government confirms electricity sector performs well, but further evolution is required alongside action to address declining gas supply Takeaways Demand growth as electrification intensifies Security of supply Affordabi
Slide 16: Green Financing Framework
GREEN FINANCING FRAMEWORK Mercury’s Green Financing Framework was updated in February 2026 and is available at www.mercury.co.nz/investors/bonds/green-bonds. The Green Financing Framework outlines Mercury’s process relating to use of proceeds, project evaluation and selection, management of proceeds
Slide 17: Investment Highlights for Bondholders
INVESTMENT HIGHLIGHTS FOR BONDHOLDERS Resilient cash generation, disciplined balance sheet , well governedinvestment BBB+ credit – disciplined financial policy Net Debt / EBITDA maintained within –2x3x (S&P adjusted) through the cycle Liquidity + refinancing managed to protect bondholders Strong com
Slide 18: Appendix
Ngā Awa Pūrua cooling tower APPENDIX 18
Slide 19: A Diversified Portfolio of Renewable Assets
A DIVERSIFIED PORTFOLIO OF RENEWABLE ASSETS OUR PURPOSE Tiakina te anamata, mā te ~9.5 TWh RENEWABLE GENERATION3 tūhono i ngā tāngata me ngā wāhi o te inamata. Taking care of tomorrow, connecting people and place today. ~916k CUSTOMER CONNECTIONS 2 OUR BUSINESS Electricity generator and multi-produc
Slide 20: Climate Bonds Certification
20 Certification : §@: This is to certify that the Mercury Green Bond 2026 Issued by Mercury NZ Limited Has met the criteria for certification by the Climate Bonds Standard Board on behalf of the Climate Bonds Initiative ea VES 6th March 2026 Sean Kidney C.E.0., Climate Bonds Initiative Roc Kos case
Slide 21: Mercury
Mercury