By Marisa Wong
Los Angeles, March 1 – Eversource Energy priced $750 million of 5.45% five-year series Z senior notes (Baa1/BBB+/BBB+) on Wednesday, according to an FWP filed with the Securities and Exchange Commission.
The notes priced at 99.803 to yield 5.496%, or with a spread of 123 basis points over Treasuries.
The company may call the notes early with a make-whole premium until Feb. 1, 2028 when the notes will become callable at par until the maturity date.
BofA Securities, Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC, Morgan Stanley & Co. LLC, U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC are the joint bookrunners.
According to a 424B3 filed earlier in the day, proceeds will be used to repay all $450 million of the company’s series F notes at maturity and repay a portion of outstanding short-term debt. The company had $1.38 billion of short-term debt with an average interest rate of 4.83% on Feb. 27.
Eversource is based in Boston and Hartford, Conn. The company is an energy delivery business that operates through utility subsidiaries throughout New England.
| Issuer: | Eversource Energy
|
| Amount: | $750 million
|
| Issue: | Senior notes, series Z
|
| Maturity: | March 1, 2028
|
| Bookrunners: | BofA Securities, Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC, Morgan Stanley & Co. LLC, U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC
|
| Co-managers: | Samuel A. Ramirez & Co., Inc. and Siebert Williams Shank & Co., LLC
|
| Trustee: | Bank of New York Mellon Trust Co., NA
|
| Counsel to issuer: | In-house counsel and Ropes & Gray LLP
|
| Counsel to underwriters: | Choate, Hall & Stewart LLP
|
| Coupon: | 5.45%
|
| Price: | 99.803
|
| Yield: | 5.496%
|
| Spread: | Treasuries plus 123 bps
|
| Call options: | Make-whole call at Treasuries plus 20 bps at any time prior to Feb. 1, 2028; par call after that
|
| Trade date: | March 1
|
| Settlement date: | March 6
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB+
|
| Fitch: BBB+
|
| Cusip: | 30040WAT5
|
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