Public Service Electric and Gas to price secured notes due 2026, 2051; talk emerges

By Marisa Wong and Cristal Cody

Los Angeles, March 2 – Public Service Electric and Gas Co. plans to sell secured medium-term notes, series N, in two tranches due March 15, 2026 and March 1, 2051 on Tuesday, according to 424B3 filings with the Securities and Exchange Commission and a market source.

The spread for the 2026 notes is expected to be in the Treasuries plus 50 basis points to 55 bps area, and the spread for the 2051 notes is talked in the 100 bps area.

Credit Suisse Securities (USA) LLC, Mizuho Securities USA LLC, RBC Capital Markets, LLC and Scotia Capital (USA) Inc. are the active bookrunners. Additional underwriters are Academy Securities Inc., AmeriVet Securities Inc., BNP Paribas Securities Corp., BNY Mellon Capital Markets LLC, CastleOak Securities LP, Citigroup Global Markets Inc. and PNC Capital Markets LLC.

The 2026 notes feature a make-whole call until Feb. 15, 2026 and then a par call. The 2051 notes have a make-whole call until Sept. 1, 2050 and then a par call.

The company expects to use proceeds from the new series N notes to repay at maturity its $300 million of 1.9% secured medium-term notes, series K. Remaining proceeds will be used for general corporate purposes.

PSE&G is a gas and electric utility is based in Newark, N.J.

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