trending Market Intelligence /marketintelligence/en/news-insights/trending/GntwkZ2zK4Dk07UI4uGeJQ2 content esgSubNav
In This List

AEP to issue $700M of equity-linked units

Blog

Activity Volumes Across the Equity Capital Markets Dropped Significantly in 2022

Blog

Insight Weekly: PE firms shift strategies; bank earnings kick off; bankruptcies plummet

Case Study

A Large Energy Company Manages its Exposure with Robust Tools to Assess Creditworthiness and Set Credit Limits

Blog

Insight Weekly: Stocks limp into 2023; GCC banks set for rebound; deep-sea mining faces pushback


AEP to issue $700M of equity-linked units

American Electric Power Co. Inc. is planning to issue approximately 14 million equity units, or approximately $700 million.

The units will be sold in a stated amount of $50 and will consist of a contract to purchase AEP common stock in 2022 and a 1/20 undivided beneficial ownership interest in an AEP junior subordinated debenture due 2024 to be issued in the principal amount of $1,000.

Underwriters will have the overallotment option to purchase an additional 2.1 million equity units, or approximately $105 million stated amount.

The company plans to use the projected $682 million in proceeds to help fund capital expenditure plans, including the recently announced contracted renewables program, and address planned equity needs in connection with the company's existing CapEx plans through 2021, exclusive of the dividend reinvestment plan.

Barclays, Morgan Stanley and Wells Fargo Securities will be joint book-running managers.