By Devika Patel
Knoxville, Tenn., Aug. 15 – Black Hills Corp. priced $400 million of 4.35% 15-year senior notes (Baa2/BBB+/BBB+) on Tuesday as part of a remarketing, according to an FWP filed with the Securities and Exchange Commission.
The selling security holders sold $299 million of the notes in the remarketing, with new notes making up the balance of the offering.
The notes priced at 99.543 to yield 4.393%, or 150 basis points over Treasuries.
J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities LLC were the active bookrunners. Credit Suisse Securities (USA) LLC was a passive bookrunner.
The Rapid City, S.D., utility company will use the proceeds to repay short-term debt and for general corporate purposes.
| Issuer: | Black Hills Corp.
|
| Amount: | $400 million
|
| Description: | Senior notes
|
| Maturity: | May 1, 2033
|
| Joint bookrunners: | J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities LLC
|
| Passive bookrunner: | Credit Suisse Securities (USA) LLC
|
| Senior co-managers: | BofA Merrill Lynch, MUFG, RBC Capital Markets Corp. and U.S. Bancorp Investments Inc.
|
| Co-managers: | BMO Capital Markets Corp. and Scotia Capital (USA) Inc.
|
| Coupon: | 4.35%
|
| Price: | 99.543
|
| Yield: | 4.393%
|
| Spread: | Treasuries plus 150 bps
|
| Call feature: | Make-whole call at Treasuries plus 25 bps until Feb. 1, 2033 and then a par call
|
| Trade date: | Aug. 14
|
| Settlement date: | Aug. 17
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB+
|
| Fitch: BBB+
|
| Distribution: | SEC registered
|
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