TWR
17/03/2014 16:33
GENERAL

REL: 1633 HRS Tower Limited

GENERAL: TWR: TOWER Capital Limited Notice of Redemption

17 March 2014

Market Information
NZX Limited
Level 2, NZX Centre
11 Cable Street
Wellington
New Zealand

Company Announcements Office
Australian Stock Exchange Limited
Exchange Centre
Level 6, 20 Bridge Street
Sydney NSW 2000
Australia

Notice of Redemption

TOWER Capital Limited Fixed Rate Senior Unsecured Bonds

TOWER Capital Limited (TOWER Capital) announces that on 15 April 2014 it will
redeem for cash all of TOWER Capital's 8.5% Fixed Rate Senior Unsecured Bonds
(Bonds) held by bondholders appearing on the register at 5.00pm on the record
date of Friday 4 April 2014.

As outlined at TOWER Limited's recent Annual Shareholders' Meeting, the
Company has been considering capital management options, including debt
repayment, which provides value for shareholders having regard to the future
capital requirements of the business. The Bond redemption is consistent with
this strategy.

Under the redemption each Bond will be redeemed for $1.00 cash per Bond. In
addition, bondholders will be paid their final interest payment up to the
date of redemption. The total principal amount to be redeemed is $81.8
million and interest paid on the redemption date will be $1.7 million.

Following the redemption, TOWER Capital's and TOWER Limited's capital
position will continue to satisfy applicable Companies Act and regulatory
requirements.

Trading of the Bonds will cease at 5.00pm on Monday 31 March 2014 to allow
all trades to be settled before the record date.

The redemption is in accordance with the Trust Deed for the Bonds dated 12
February 2009. Payment for the Bond redemptions, once cleared, will operate
as a complete transfer of the Bonds. At that time, TOWER Capital will be
discharged from any obligations to bondholders.

Written notice of TOWER Capital's election to redeem the Bonds has been
mailed to bondholders today. In addition, pursuant to Rule 5.4.1(b) of the
Main Board/Debt Market Listing Rules, TOWER Capital has requested that it
cease to be listed on the NZX Debt Market after redemption of the Bonds.

If you have any questions in relation to the redemption, please contact:

Computershare Investor Services Limited
Private Bag 92119
Auckland 1142
Email: enquiry@computershare.co.nz

Michael Boggs
Chief Financial Officer
TOWER Limited
ARBN 088 481 234 Incorporated in New Zealand
End CA:00248301 For:TWR    Type:GENERAL    Time:2014-03-17 16:33:44
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