NextEra talks $2 billion 6.926% three-year equity units at reoffer price of 97.5-98.5, up 25%

By Abigail W. Adams

Portland, Me., Sept. 14 – NextEra Energy Inc. plans to price $2 billion of three-year $50-par equity units after the market close on Wednesday with price talk for a fixed coupon of 6.926%, a fixed conversion premium of 25% and a reoffer price of 97.5 to 98.5, according to a market source.

Citigroup Global Markets Inc., Goldman Sachs & Co. LLC and Mizuho Securities USA Inc. are bookrunners for the registered offering, which does not carry a greenshoe.

The equity units consist of a forward stock purchase agreement, which expires on Sept. 1, 2025, and a 5% interest in a NextEra Energy Capital Holdings Inc. debenture due Sept. 1, 2027.

There is takeover and dividend protection above 42.5 cents per quarter.

Proceeds will be used to fund investments in energy and power projects, to repay debt and for other general corporate purposes.

NextEra is a Juno Beach, Fla.-based clean energy company.

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