Southern California Edison eyes new bond, tap of 4.125% bond due 2048

By Devika Patel

Knoxville, Tenn., July 30 – Southern California Edison Co. intends to sell new series 2018E first and refunding mortgage bonds due 2025 (//A+) and will also conduct an add-on offering of its previously issued 4.125% series 2018C first and refunding mortgage bonds due 2048, according to a 424B5 filing with the Securities and Exchange Commission.

The company first sold $400 million of the 4.125% 30-year bonds on Feb. 28 at 99.812 to yield 4.136%, or a spread of Treasuries plus 100 basis points. It sold another $350 million of the bonds on June 4 at 96.829 to yield 4.315%, or Treasuries plus 130 bps.

The 2025 bonds have a make whole call and then a par call.

The 2048 bonds have a make-whole call before Sept. 1, 2047 at Treasuries plus 15 bps and are callable thereafter at par.

The bookrunners are Citigroup Global Markets Inc., Morgan Stanley & Co. LLC, MUFG, Wells Fargo Securities LLC, TD Securities (USA) LLC and U.S. Bancorp Investments Inc.

Proceeds will be used to repay the company’s 5.5% series 2008B first and refunding mortgage bonds at maturity, to repay commercial paper borrowings and for general corporate purposes.

Southern California Edison is an electric utility company based in Rosemead, Calif.

© 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.