By Lisa Kerner
Charlotte, N.C., Dec. 22 - Alabama Gas Corp. agreed to sell a total of $50 million of its 3.86% senior notes due Dec. 22, 2021 under two separate note purchase agreements on Thursday.
Proceeds will be used for general corporate purposes including, but not limited to, capital expenditures and repayment of debt.
The notes were sold in a private placement to institutional accredited investors under an exemption from registration under the Securities Act of 1933, according to a form 8-K filing with the Securities and Exchange Commission.
The note purchase agreement contains customary covenants requiring Alabama Gas to maintain certain financial ratios consistent with its Oct. 29, 2010 existing revolving credit agreement.
The Birmingham, Ala.-based utility company may prepay the notes at any time from time at par plus a make-whole amount.
| Issuer: | Alabama Gas Corp.
|
| Issue: | Senior notes
|
| Amount: | $50 million (two tranches of $25 million each)
|
| Maturity: | Dec. 22, 2021
|
| Coupon: | 3.86%
|
| Call option: | At par plus make-whole amount
|
| Pricing date: | Dec. 22
|
| Distribution: | Private placement
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
