Aquila greenshoe exercised, raising PIES to $345 million

Pittsburgh, Aug. 24 - Aquila Inc. said the underwriters of its recent offering of 13.8 million Premium Income Equity Securities (PIES) exercised the over-allotment option in full, raising the size of the deal to $345 million.

The Kansas City, Mo.-based operator of electricity and natural gas distribution utilities originally priced $300 million of the securities after the close on Aug. 18 to yield 6.75% with a 22% initial conversion premium.

Lehman Brothers Inc. was the bookrunner and Credit Suisse First Boston the joint lead manager on the registered deal.

Aquila will use proceeds to retire its 6.875% and 7% long-term debt and other liabilities as well as to strengthen the company's balance sheet.

© 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.