MidAmerican Energy Co. issued $700 million of its 3.65% first mortgage bonds due 2048 to finance renewable energy investments, according to a Feb. 1 Form 8-K filing.
The Berkshire Hathaway Energy subsidiary will use net proceeds to fund CapEx, disbursed from Feb. 2, 2017, to Oct. 31, 2017, and tied to investments in its 2,000-MW Wind XI project, and for repowering certain of its existing wind facilities.
Interest on the bonds is payable semiannually every Feb. 1 and Aug. 1, starting Aug. 1. The bonds have a spread to benchmark Treasury of 75 basis points. The issue was expected to be rated Aa2 by Moody's, A+ by S&P Global Ratings and A+ by Fitch Ratings.
Barclays Capital Inc., BNP Paribas Securities Corp., Scotia Capital (USA) Inc., U.S. Bancorp Investments Inc., Wells Fargo Securities LLC, BMO Capital Markets Corp. and SMBC Nikko Securities America Inc. acted as joint book-running managers.
BNY Mellon Capital Markets LLC, CIBC Capital Markets Corp., KeyBanc Capital Markets Inc., PNC Capital Markets LLC, SunTrust Robinson Humphrey Inc. and TD Securities (USA) LLC served as co-managers.
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