New Issue: Union Electric sells $400 million 2.95% 10-year secured notes at 85 bps over Treasuries

By Cristal Cody

Tupelo, Miss., June 6 – Union Electric Co., doing business as Ameren Missouri, priced $400 million of 2.95% 10-year senior secured notes at 99.674 to yield 2.988%, according to an FWP filing with the Securities and Exchange Commission on Tuesday.

The notes (A2/A) priced with a spread of 85 basis points over Treasuries.

Barclays, RBC Capital Markets, LLC, Wells Fargo Securities, LLC, Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC and SMBC Nikko Securities America, Inc. were the bookrunners.

Proceeds will be used together with available funds to repay at maturity $425 million outstanding of the company’s 6.4% senior secured notes due June 15, 2017.

Union Electric is a subsidiary of St. Louis-based electric and natural gas company Ameren Corp.

Issuer:	Union Electric Co., doing business as Ameren Missouri
Amount:	$400 million
Description:	Senior secured notes
Maturity:	June 15, 2027
Bookrunners:	Barclays, RBC Capital Markets, LLC, Wells Fargo Securities, LLC, Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC and SMBC Nikko Securities America, Inc.
Co-managers:	Academy Securities, Inc., CastleOak Securities, LP and Samuel A. Ramirez & Co., Inc.
Coupon:	2.95%
Price:	99.674
Yield:	2.988%
Spread:	Treasuries plus 85 bps
Call feature:	Make-whole call before March 15, 2027 at greater of par or Treasuries plus 15 bps; thereafter at par
Trade date:	June 6
Settlement date:	June 15
Ratings:	Moody’s: A2
	S&P: A
Distribution:	SEC registered

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