By Cristal Cody
Chicago, June 3 – Consolidated Edison Co. of New York, Inc. sold a two-part offering of debentures (Baa1/A-/A-) on Thursday, based on details provided in an FWP filing with the Securities and Exchange Commission.
Each tranche was $750 million.
The company sold 2.4% debentures due 2031 at 99.752, or at a spread of Treasuries plus 80 basis points. The notes had been talked in the 105 bps over Treasuries area, according to a market source earlier in the day.
Additionally, the company sold 3.6% green debentures due 2061 at 99.599, or a spread of Treasuries plus 130 bps. The notes came low to the Treasuries plus 150 bps area talk.
Both tranches of debentures have a make-whole call and then a par call.
Barclays, BofA Securities Inc., J.P. Morgan Securities LLC, Wells Fargo Securities LLC, CIBC World Markets Corp., KeyBanc Capital Markets Inc., MUFG Securities America Inc., Scotia Capital (USA) Inc. and TD Securities (USA) LLC are the bookrunners.
Proceeds from the 2021A notes will be used to redeem at maturity on June 25, 2021 all $640 million of floating-rate debentures, series 2018C, and to fund general corporate purposes, including repayment of short-term debt.
Proceeds from the 2021B notes will be used for eligible green expenditures.
The electric utility is a subsidiary of New York City-based Consolidated Edison, Inc.
| Issuer: | Consolidated Edison Co. of New York, Inc.
|
| Issue: | Debentures
|
| Amount: | $1.5 billion
|
| Bookrunners: | Barclays, BofA Securities Inc., J.P. Morgan Securities LLC, Wells Fargo Securities LLC, CIBC World Markets Corp., KeyBanc Capital Markets Inc., MUFG Securities America Inc., Scotia Capital (USA) Inc. and TD Securities (USA) LLC
|
| Co-managers: | PNC Capital Markets LLC, U.S. Bancorp Investments, Inc., Loop Capital Markets LLC and Samuel A. Ramirez & Co., Inc.
|
| Trade date: | June 3
|
| Settlement date: | June 8
|
| Ratings: | Moody’s: Baa1
|
| S&P: A-
|
| Fitch: A-
|
| Distribution: | SEC registered
|
|
|
| Series 2021 A
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| Issue: | Series 2021 A debentures
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| Amount: | $750 million
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| Maturity: | June 15, 2031
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| Coupon: | 2.4%
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| Price: | 99.752
|
| Yield: | 2.428%
|
| Spread: | Treasuries plus 80 bps
|
| Call features: | Make-whole call at Treasuries plus 15 bps until March 15, 2031, then a par call
|
| Price talk: | Treasuries plus 105 bps area
|
|
|
| Series 2021 B
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| Issue: | Series 2021 B green debentures
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| Amount: | $750 million
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| Maturity: | June 15, 2061
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| Coupon: | 3.6%
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| Price: | 99.599
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| Yield: | 3.619%
|
| Spread: | Treasuries plus 130 bps
|
| Call features: | Make-whole call at Treasuries plus 20 bps until Dec. 15, 2060, then par call
|
| Price talk: | Treasuries plus 150 bps area
|
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