/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE
SERVICES OR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Sept. 24, 2020 /CNW/ - Hydro One Limited (TSX: H)
("Hydro One" or the "Company") announced today that
it has priced a public offering of $425.0
million principal amount of 1.41% notes due October 15, 2027 (the "Notes"). The net
proceeds from the issuance of the Notes will be approximately
$423.3 million. Hydro One intends to
use the net proceeds of this offering to fund the previously
announced redemption on November 20,
2020 of all of its outstanding Series 1 Preferred Shares and
for general corporate purposes. The holders of Series 1 Preferred
Shares currently receive fixed cumulative preferential dividends at
an annual dividend rate of 4.25%. The offering of the Notes is
expected to close on October 15,
2020. This debt offering of the Company is expected to
optimize the Company's capital structure and lower its funding
costs.
The Notes are being offered on a best efforts basis in each of
the provinces and territories of Canada through a syndicate of agents.
The Company will be filing a prospectus supplement to the short
form base shelf prospectus of the Company dated August 20, 2020 (collectively, the
"Prospectus") in each of the provinces and territories of
Canada. The offering of
Notes is only being made by Prospectus. The Prospectus
contains important detailed information about the Notes being
offered. Copies of the Prospectus may be obtained over the Internet
under Hydro One Limited's profile at the Canadian Securities
Administrators' website at www.sedar.com. Investors should read the
Prospectus before making an investment decision.
This news release does not constitute an offer to sell or the
solicitation of an offer to buy any securities in any jurisdiction.
The Notes have not been approved or disapproved by any regulatory
authority nor has any such authority passed upon the accuracy or
adequacy of the Prospectus.
This news release is not an offer for sale within the United States of any debt or other
securities of Hydro One Limited. Securities of Hydro One Limited,
including any offering of its debt securities, may not be offered
or sold in the United States
absent registration under U.S. securities laws or unless exempt
from registration under such laws. The Canadian offering described
in this news release is not being made in the United States and has not been and will
not be registered under U.S. securities laws, and accordingly, the
Notes may not be offered or delivered, directly or indirectly, or
sold in the United States except
in certain transactions exempt from the registration requirements
under applicable U.S. securities laws.
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.
Caution Concerning Forward Looking Statements, Risks and
Assumptions:
This news release includes "forward-looking information" within
the meaning of applicable securities laws. The forward looking
information in this news release includes, without limitation,
expectations regarding the timing of the closing of the offering
and the anticipated use of the net proceeds of the offering, the
expected optimization of its capital structure and lowered funding
costs, statements that Hydro One will redeem the Series 1 Preferred
Shares and the timing for the redemption of such Series 1 Preferred
Shares. The Company cautions that all forward looking information
is inherently subject to change and uncertainty and that actual
results may differ materially from those expressed or implied by
the forward looking information. A number of risks, uncertainties
and other factors could cause actual results and events to differ
materially from those expressed or implied in the forward looking
information or could cause the Company's current objectives,
strategies and intentions to change, and many of these factors are
beyond the Company's control and current expectation or knowledge.
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 Limited's filings
with the securities regulatory authorities in Canada, which are available on SEDAR at
www.sedar.com. Hydro One Limited does not intend, and disclaims any
obligation, to update any forward-looking information, except as
required by law.
SOURCE Hydro One Limited