Published on 4/15/2024 in the Prospect News Investment Grade Daily.
New Issue: Eversource Energy sells $1.4 billion notes in tranches due 2031, 2034
By Wendy Van Sickle
Columbus, Ohio, April 15 – Eversource Energy priced $1.4 billion of fixed-rate notes (Baa2/BBB+/BBB) in two tranches on Monday, according to FWP filings with the Securities and Exchange Commission.
The company priced $700 million of 5.85% seven-year senior notes at a spread of 120 basis points over Treasuries. The notes priced at 99.984 to yield 5.853%.
The company sold $700 million of 5.95% 10-year senior notes at a spread of 135 bps over Treasuries. The notes priced at 99.723 to yield 5.988%.
Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, MUFG Securities Americas Inc., TD Securities (USA) LLC and U.S. Bancorp Investments, Inc. are the joint bookrunners.
Proceeds will be used to repay at maturity all the company’s series X notes and all of Aquarion Co.’s 4% senior notes and to repay a portion of Eversource’s outstanding short-term debt. As of April 11, the company’s outstanding short-term debt totaled $1.74 billion with a weighted average interest rate of 5.66%.
Eversource Energy, based in Boston and in Hartford, Conn., is a public utility holding company.
| Issuer: | Eversource Energy
|
| Amount: | $1.4 billion
|
| Issue: | Senior notes
|
| Bookrunners: | Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, MUFG Securities Americas Inc., TD Securities (USA) LLC and U.S. Bancorp Investments, Inc.
|
| Co-managers: | Samuel A. Ramirez & Co., Inc. and Siebert Williams Shank & Co., LLC
|
| Trustee: | Bank of New York Mellon Trust Co., NA
|
| Counsel to issuer: | In-house counsel and Ropes & Gray LLP
|
| Counsel to underwriters: | Choate, Hall & Stewart LLP
|
| Pricing date: | April 15
|
| Settlement date: | April 18
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB+
|
| Fitch: BBB
|
|
|
| 2031 notes
|
| Amount: | $700 million
|
| Maturity: | April 15, 2031
|
| Coupon: | 5.85%
|
| Price: | 99.984
|
| Yield: | 5.853%
|
| Spread: | Treasuries plus 120 bps
|
| Call features: | Make-whole call at Treasuries plus 20 bps until Feb. 15, 2031, then a par call
|
| Cusip: | 30040WBA5
|
|
|
| 2034 notes
|
| Amount: | $700 million
|
| Maturity: | July 15, 2034
|
| Coupon: | 5.95%
|
| Price: | 99.723
|
| Yield: | 5.988%
|
| Spread: | Treasuries plus 135 bps
|
| Call features: | Make-whole call at Treasuries plus 25 bps until April 15, 2034; thereafter at par
|
| Cusip: | 30040WAZ1
|
|
|
© 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.
