By Lisa Kerner
Charlotte, N.C., Nov. 2 - Empire District Electric Co. entered into a bond purchase agreement on Oct. 30 for the private placement of $30 million of 3.73% first mortgage bonds due 2033 and $120 million of 4.32% first mortgage bonds due 2043, according to an 8-K filing with the Securities and Exchange Commission.
The delayed settlement of all $150 million of bonds is anticipated to occur on or about May 30, 2013.
Previously, Empire announced it would place the bonds in October.
Proceeds will be used to redeem all $98 million of the company's 4.5% senior notes due 2013, which mature on June 15, 2013, as well as for general corporate purposes.
Should the settlement occur as planned on May 30, the 3.73% bonds will mature on May 30, 2033 and the 4.32% bonds will mature on May 30, 2043.
Interest on the bonds will be payable semiannually on May 30 and Nov. 30, beginning Nov. 30, 2013.
The bonds will be prepayable, at any time prior to maturity, at par plus a make-whole premium, together with accrued and unpaid interest, if any, to the prepayment date, the filing said.
According to Empire, the bonds will not be registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
The Joplin, Mo.-based utility company provides electricity, natural gas and water to customers in Missouri, Kansas, Oklahoma and Arkansas.
| Issuer: | Empire District Electric Co.
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| Issue: | First mortgage bonds
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| Amount: | $150 million
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| Distribution: | Private placement
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| Announced: | Oct. 30
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| Settlement date: | May 30
|
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| Bonds due 2033
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| Amount: | $30 million
|
| Maturity: | 2033
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| Coupon: | 3.73%
|
|
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| Bonds due 2043
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| Amount: | $120 million
|
| Maturity: | 2043
|
| Coupon: | 4.32%
|
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