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Watercare says it has successfully raised CHF250 million (Swiss francs) – about $542m – through the bond market in Switzerland.
Auckland’s water utility business says it marks the latest funding milestone as it builds a diversified, multi-market debt capital markets programme to support the region’s water and wastewater infrastructure.
The transaction, which settled on March 27, comprises two tranches: CHF100m with a three-year tenor, and CHF150m with a nine-year tenor.
Watercare chief financial officer Angela Neeson said yesterday, June 29, the transaction is part of its ongoing debt capital markets programme and reflects continued progress in establishing a regular presence across global debt markets.
“This is another important step in building a disciplined, diversified funding programme.
“In less than nine months, we have established Watercare as a regular issuer across multiple markets.
“Accessing the Swiss market allows us to extend the maturity of our debt, diversify our investor base and better align our funding profile with long-dated infrastructure assets.”
Since becoming financially independent from Auckland Council on July 1, 2025, Watercare has raised about $1.5 billion in bond funding across domestic and offshore markets.
It includes a $400m domestic bond issued in September 2025 and an A$500m Australian bond issued in February.
At the time of separation, Watercare secured $3.4b in committed bank debt facilities – the largest corporate debt capital raise undertaken in New Zealand – providing a strong foundation for its capital programme.
Watercare says it has seen strong investor demand across all markets accessed to date, achieving competitive pricing ahead of initial business plan assumptions, with estimated interest savings of more than $20m this financial year.
Watercare holds a credit rating of Aa3 from Moody’s and operates within a regulated framework, providing transparency and confidence for investors, customers and stakeholders.
Proceeds from Watercare’s capital markets programme have been used to fund this year’s capital programme, reduce interest costs and accelerate repayment of its transitional loan to the council.
Since July 2025, more than $1b has been repaid, significantly ahead of minimum repayment requirements.
“This reflects a deliberate strategy to move from transitional funding arrangements to long-term debt capital markets funding, while maintaining strong liquidity and financial discipline,” Neeson said.
Watercare remains wholly owned by the council and continues to operate within a regulated framework that supports long-term financial discipline and investor confidence, it says.
Watercare’s access to debt capital markets supports the delivery of essential water and wastewater infrastructure while helping to manage costs for customers.
It provides greater certainty for long-term investment and enables more efficient financing of Auckland’s infrastructure programme as the city continues to grow, it says.
“Watercare will continue to engage with investors across New Zealand, Australian, Asian and European markets as it further develops its diversified debt capital markets programme.”
