/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE
SERVICES OR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Sept. 21, 2020 /CNW/ - Hydro One Limited
(TSX: H) ("Hydro One" or the "Company") announced today that it
will exercise its option to redeem all of its outstanding Series 1
Preferred Shares ("Series 1 Preferred Shares") on
November 20, 2020 (the "Redemption
Date"), in accordance with their terms. There are currently
16,720,000 Series 1 Preferred Shares issued and outstanding, which
are held by Her Majesty The Queen in Right of Ontario, as represented by the Minister of
Energy, Northern Development & Mines (the "Province").
Hydro One has the right to redeem the Series 1 Preferred Shares in
its sole discretion. The Series 1 Preferred Shares will be
redeemed at a price of $25.00 per
share, plus all accrued and unpaid dividends up to, but excluding
the Redemption Date, for an aggregate redemption price of
$422,441,250. The Series 1 Preferred
Shares are not exchangeable or convertible into the common shares
of the Company and the redemption will have no impact on the
Province's voting rights or ownership percentage of the outstanding
common shares of Hydro One. Please refer to the articles of
Hydro One, which have been filed and are available on SEDAR at
www.sedar.com, for full details regarding the terms of the Series 1
Preferred Shares.
Hydro One intends to fund the redemption price for the Series 1
Preferred Shares by incurring approximately $425,000,000 of additional indebtedness through
the issuance of debt securities or by a combination of drawings
under its existing credit facility and drawings under one or more
credit facilities the Company may enter into with financial
institutions.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities in the United States or any other
jurisdiction.
Hydro One Limited (TSX: H)
Hydro One Limited, through its wholly-owned subsidiaries, is
Ontario's largest electricity
transmission and distribution provider with approximately 1.4
million valued customers, approximately $27.1 billion in assets as at December 31, 2019, and annual revenues in 2019 of
approximately $6.5 billion. Our team
of approximately 8,800 skilled and dedicated employees proudly
build and maintain a safe and reliable electricity system, which is
essential to supporting strong and successful communities. In 2019,
Hydro One invested approximately $1.7
billion in its transmission and distribution networks and
supported the economy through buying approximately $1.5 billion of goods and services. We are
committed to the communities where we live and work through
community investment, sustainability and diversity initiatives. We
are designated as a Sustainable Electricity Company by the Canadian
Electricity Association. Hydro One Limited's common shares are
listed on the TSX and certain of Hydro One Inc.'s medium term notes
are listed on the NYSE. Additional information can be accessed at
www.HydroOne.com; www.sedar.com or www.sec.gov.
For More Information
For more information about everything Hydro One, please visit
www.hydroone.com where you can find additional information
including links to securities filings, historical financial
reports, and information about Hydro One's governance practices,
corporate social responsibility, customer solutions, and further
information about its business.
Forward-Looking Statements and Information
This press release may contain "forward-looking information"
within the meaning of applicable securities laws, including but not
limited to statements that Hydro One will redeem the Series 1
Preferred Shares, the timing for the redemption of such Series 1
Preferred Shares, statements relating to the redemption price for
the Series 1 Preferred Shares and expectations regarding the manner
in which such redemption price will be funded. Words such as
"expect", "anticipate", "intend", "attempt", "may", "plan", "will",
"can", "believe", "seek", "estimate", and variations of such words
and similar expressions are intended to identify such
forward-looking information. These statements are not guarantees of
future performance or actions and involve assumptions and risks and
uncertainties that are difficult to predict. Therefore, actual
outcomes and results may differ materially from what is expressed,
implied or forecasted in such forward-looking information. Some of
the factors that could cause actual results or outcomes to differ
materially from the results expressed, implied or forecasted by
such forward-looking information, including some of the assumptions
used in making such statements, are discussed more fully in Hydro
One's filings with the securities regulatory authorities in
Canada, which are available on
SEDAR at www.sedar.com. Hydro One does not intend, and it disclaims
any obligation, to update any forward-looking information, except
as required by law.
SOURCE Hydro One Limited