OAKVILLE, ON, March 1, 2017 /PRNewswire/ - Algonquin Power
& Utilities Corp. ("APUC") (TSX: AQN, NYSE: AQN) today
announced that Liberty Utilities Co., APUC's regulated distribution
utility holding company, has entered into an agreement for the
issuance of U.S. $750 million of
senior unsecured private placement notes through an affiliated
special purpose financing entity. The notes are of varying
maturities ranging from 3 to 30 years with a weighted average life
to maturity of approximately 15 years and an effective weighted
average interest expense of 3.6%.
The proceeds of the offering will be used to repay the remaining
balance of APUC's bank facility drawn on closing of the acquisition
of The Empire District Electric Company and refinance certain other
existing indebtedness. The financing is the fifth series of notes
issued pursuant to Liberty Utilities' master indenture and is
expected to close before the end of March
2017.
"The acquisition of The Empire District Electric Company marks a
major milestone in APUC's history and adds significant scale to our
regulated utilities financing platform," commented David Bronicheski, APUC's Chief Financial
Officer. "This private placement debt financing completes the
financing plan for our Empire acquisition and delivers our
noteholders and utility customers the benefits from our large
diversified portfolio of regulated utilities."
The senior notes have been assigned a provisional credit rating
of BBB (high) by DBRS Limited.
The offering is being co-led by J.P. Morgan and Wells Fargo
Securities LLC.
About Algonquin Power & Utilities Corp.
APUC is a North American diversified generation, transmission
and distribution utility with $10
billion of total assets. Liberty Utilities provides rate
regulated natural gas, water, and electricity generation,
transmission, and distribution utility services to over 782,000
customers in the United States.
APUC is committed to being a North American leader in the
generation of clean energy through its portfolio of long term
contracted wind, solar and hydroelectric generating facilities
representing more than 1,150 MW of installed capacity. APUC
delivers continuing growth through an expanding pipeline of
renewable energy development projects, organic growth within its
rate regulated generation, distribution and transmission
businesses, and the pursuit of accretive acquisitions. Common
shares and preferred shares are traded on the Toronto Stock
Exchange under the symbols AQN, AQN.PR.A, and AQN.PR.D. APUC's
common shares are also listed on the New York Stock Exchange under
the symbol AQN.
Visit APUC at www.AlgonquinPowerandUtilities.com and follow
us on Twitter @AQN_Utilities.
SOURCE Algonquin Power & Utilities Corp.