By Cristal Cody
Tupelo, Miss., Sept. 11 – Virginia Electric and Power Co. sold $750 million of senior notes (A2/BBB+/A) in two tranches on Monday, including a reopening, according to an FWP filing with the Securities and Exchange Commission.
In the add-on, Virginia Electric sold $200 million of 2.75% series C notes due March 15, 2023 at 101.735 to yield 2.397%, or a spread of Treasuries plus 70 basis points.
The company originally sold $500 million of the series C notes on March 14, 2013 at 99.688 to yield 2.786%, or Treasuries plus 73 bps. The total outstanding now is $700 million.
The company priced $550 million of new 3.8% series B notes due Sept. 15, 2047 at 99.556 to yield 3.825% and a spread of Treasuries plus 110 bps.
RBC Capital Markets, LLC, Scotia Capital (USA) Inc., SunTrust Robinson Humphrey Inc. and U.S. Bancorp Investments Inc. were the bookrunners.
Proceeds will be used for general corporate purposes and to repay short-term debt.
The electric utility is based in Richmond, Va.
| Issuer: | Virginia Electric and Power Co.
|
| Amount: | $750 million
|
| Description: | Senior notes
|
| Bookrunners: | RBC Capital Markets, LLC, Scotia Capital (USA) Inc., SunTrust Robinson Humphrey Inc. and U.S. Bancorp Investments Inc.
|
| Co-managers: | Penserra Securities LLC and Samuel A. Ramirez & Co., Inc.
|
| Trade date: | Sept. 11
|
| Settlement date: | Sept. 13
|
| Ratings: | Moody’s: A2
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| Six-year notes
|
| Amount: | $200 million reopening
|
| Maturity: | March 15, 2023
|
| Coupon: | 2.75%
|
| Price: | 101.735
|
| Yield: | 2.397%
|
| Spread: | Treasuries plus 70 bps
|
| Call features: | Make-whole call at Treasuries plus 12.5 bps before Dec. 15, 2022; thereafter at par
|
| Total outstanding: | $700 million, including $500 million of notes priced on March 14, 2013 at 99.688 to yield 2.786%, or Treasuries plus 73 bps
|
|
|
| 30-year notes
|
| Amount: | $550 million
|
| Maturity: | Sept. 15, 2047
|
| Coupon: | 3.8%
|
| Price: | 99.556
|
| Yield: | 3.825%
|
| Spread: | Treasuries plus 110 bps
|
| Call features: | Make-whole call at Treasuries plus 20 bps before March 15, 2047; thereafter at par
|
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