Consumers Energy Co. has completed the sale of $550 million of its 3.10% first mortgage bonds due Aug. 15, 2050.
Interest on the bonds is payable semiannually on Feb. 15 and Aug. 15, beginning Feb. 15, 2020. The bonds have a spread to benchmark Treasury of 105 basis points and were expected to be rated Aa3 by Moody's, A by S&P Global Ratings and A+ by Fitch Ratings, according to an Aug. 19 free writing prospectus.
The CMS Energy Corp. subsidiary said it plans to use net proceeds for general corporate purposes including debt reduction, capital expenditure and working capital.
BNP Paribas Securities Corp., Citigroup Global Markets Inc., J.P. Morgan Securities LLC, KeyBanc Capital Markets Inc., Mizuho Securities USA LLC, MUFG Securities Americas Inc. and SMBC Nikko Securities America Inc. worked as joint book-running managers. Comerica Securities Inc., Loop Capital Markets LLC, U.S. Bancorp Investments Inc. and The Williams Capital Group LP served as co-managers.
