OAKVILLE, ON, Oct. 10, 2018 /CNW/ - Algonquin Power &
Utilities Corp. (TSX/NYSE: AQN) ("APUC" or the "Company") today
announced that it has priced an underwritten public offering of
US$250 million aggregate principal
amount of 6.875% fixed-to-floating subordinated notes due
October 17, 2078 (the "Notes").
The sale of the Notes is expected to close on or about October 17, 2018, subject to customary closing
conditions. APUC intends to use the net proceeds from the
offering for general corporate purposes, including the repayment of
outstanding indebtedness. APUC intends to apply for listing of the
Notes on the New York Stock Exchange.
The joint book-running managers for the offering are BofA
Merrill Lynch, J.P. Morgan, Morgan Stanley, Wells Fargo Securities
and RBC Capital Markets and the co-managers for the offering are
BMO Capital Markets and CIBC Capital Markets (collectively, the
"Underwriters"). APUC has granted a 13-day option to the
Underwriters to purchase up to an additional US$37.5 million aggregate principal amount of
Notes at the public offering price, less the underwriting discount,
to cover over-allotments, if any.
The offering is being made to the public only by means of a
short form base shelf prospectus and related prospectus supplement,
which are part of an effective registration statement filed with
the U.S. Securities and Exchange Commission ("SEC"). The terms of
the Notes will be set forth in a final prospectus supplement to be
filed by APUC under APUC's issuer profile on SEDAR at www.sedar.com
and with the SEC at www.sec.gov. The short form base shelf
prospectus and the related prospectus supplement will contain
important information about the Notes. Investors should read the
short form base shelf prospectus and the related prospectus
supplement before making an investment decision. Copies of the
short form base shelf prospectus and the related prospectus
supplement may be obtained for free by visiting www.sedar.com or
EDGAR on the SEC's website at www.sec.gov. Alternatively, APUC, any
underwriter or any dealer participating in the offering will
arrange to send you the short form base prospectus and the related
prospectus supplement if you request it by calling Merrill Lynch,
Pierce, Fenner & Smith Incorporated toll‐free at
1‐800‐294‐1322; J.P. Morgan Securities LLC at 1‐212‐834‐4533;
Morgan Stanley & Co. LLC toll‐free at 1‐866‐718‐1649; Wells
Fargo Securities, LLC toll‐free at 1‐800‐645‐3751; or RBC Capital
Markets, LLC toll‐free at 1‐866‐375‐6829.
The Notes are not being qualified for distribution to purchasers
in Canada, or to residents of
Canada, under the securities laws
of the Province of Ontario or any
other province or territory of Canada. The Notes may not be, directly or
indirectly, offered, sold or delivered in Canada or to residents of Canada except pursuant to an exemption from
the prospectus requirements of Canadian securities laws. This news
release shall not constitute an offer to sell or the solicitation
of an offer to buy the securities described in this news release,
nor shall there be any sale of these securities in any state or
jurisdiction in which such an offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
About Algonquin Power & Utilities Corp.
APUC is a diversified generation, transmission and distribution
utility with approximately US$9
billion of total assets. Through its two business groups,
APUC provides rate regulated natural gas, water, and electricity
generation, transmission, and distribution utility services to over
760,000 customers in the United
States, and is committed to being a global leader in the
generation of clean energy through its ownership of, or interest
in, long term contracted wind, solar and hydroelectric generating
facilities representing approximately 1.7 GW of installed capacity.
APUC delivers continuing growth through an expanding pipeline
of renewable energy development projects, organic growth within its
rate regulated generation, distribution and transmission
businesses, and the pursuit of accretive acquisitions. APUC's
common shares, Series A preferred shares and Series D preferred
shares are listed on the Toronto Stock Exchange under the symbols
AQN, AQN.PR.A, and AQN.PR.D, respectively. APUC's common
shares are also listed on the New York Stock Exchange under the
symbol AQN.
Caution Regarding Forward-Looking Information
Certain statements included in this news release constitute
''forward-looking information'' within the meaning of applicable
securities laws in each of the provinces of Canada and the respective policies,
regulations and rules under such laws and ''forward-looking
statements'' within the meaning of the U.S. Private Securities
Litigation Reform Act of 1995 (collectively, ''forward-looking
statements"). The words "will", "expects", "intends" and
similar expressions are often intended to identify forward-looking
statements, although not all forward-looking statements contain
these identifying words. Specific forward-looking statements
contained in this news release include, but are not limited to:
statements regarding the closing of the offering; the exercise of
the over‐allotment; the listing of the Notes; and the expected use
of the net proceeds from the offering. These statements are based
on factors or assumptions that were applied in drawing a conclusion
or making a forecast or projection, including assumptions based on
historical trends, current conditions and expected future
developments. Since forward-looking statements relate to future
events and conditions, by their very nature they require making
assumptions and involve inherent risks and uncertainties. APUC
cautions that although it is believed that the assumptions are
reasonable in the circumstances, these risks and uncertainties give
rise to the possibility that actual results may differ materially
from the expectations set out in the forward-looking statements.
Material risk factors include those set out in APUC's most recent
annual and interim management's discussion and analysis, most
recent annual information form and prospectus and prospectus
supplement relating to the offering. Given these risks, undue
reliance should not be placed on these forward-looking statements,
which apply only as of their dates. Other than as specifically
required by law, APUC undertakes no obligation to update any
forward-looking statements to reflect new information, subsequent
or otherwise.
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SOURCE Algonquin Power & Utilities Corp.