By Lisa Kerner
Charlotte, N.C., June 20 – Spire Inc. announced it will privately place $165 million of senior notes with institutional investors.
The notes will be issued as $35 million of five-year notes and $130 million of 10-year notes, according to a news release.
Depending on the date of issuance and sale, the five-year notes will bear interest between 2.49% and 2.61% per annum. The 10-year notes will bear interest between 3.11% and 3.19%.
Proceeds will be used to fund a portion of the consideration for the pending acquisition of Mobile Gas and Willmut Gas.
The notes are expected to be issued concurrently with or shortly before the closing of the acquisition but no later than Dec. 31, 2016.
If, for any reason, the acquisition does not close within three business days of the issuance of the notes, the notes will be repaid at par and canceled.
The notes will not be issued if the acquisition is terminated for any reason prior to issuance of the notes.
Spire is an IT consulting company based in St. Louis.
| Issuer: | Spire Inc.
|
| Issue: | Senior notes
|
| Amount: | $165 million
|
| Settlement: | By Dec. 31, 2016
|
| Distribution: | Private placement
|
|
|
| Five-year notes
|
| Amount: | $35 million
|
| Tenor: | Five years
|
| Coupon: | Between 2.49% and 2.61%
|
|
|
| 10-year notes
|
| Amount: | $130 million
|
| Tenor: | 10 years
|
| Coupon: | Between 3.11% and 3.19%
|
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