CenterPoint: most 2.875% convertibles converted ahead of call date

By Angela McDaniels

Seattle, Feb. 7 - CenterPoint Energy, Inc. said that holders converted substantially all of the company's $255 million outstanding 2.875% convertible senior notes due 2024 ahead of Jan. 22, the redemption date.

The notes were convertible into cash or common shares, at CenterPoint's option, at a conversion rate of 79.8969 shares per $1,000 principal amount, or $12.51613 per share.

The company paid $254.98 million in cash for the principal amount of the notes and 5,616,952 shares of common stock to satisfy conversion obligations above the principal amount.

The remaining $20,000 principal amount of notes were redeemed at par plus accrued interest of $0.559, which includes contingent interest, on Jan. 22.

Holders who converted their notes between 5 p.m. ET on Jan. 1 and 9 a.m. ET on Jan. 15 were required to pay $14.375 per $1,000 principal amount of notes, which is equal to the interest payable on the notes on Jan. 15.

The Houston-based energy delivery company called the notes on Dec. 21.

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