Otter Tail Power Co. entered into a note purchase agreement for the issuance of $175 million of senior unsecured notes in a private placement.
The senior unsecured notes will consist of $10 million of its 3.07% series 2019A notes due Oct. 10, 2029; $26 million of its 3.52% series 2019B notes due Oct. 10, 2039; and $64 million of its 3.82% series 2019C notes due Oct. 10, 2049.
Also to be included in the issuance is $10 million of the company's 3.22% series 2020A notes due Feb. 25, 2030; $40 million of its 3.22% series 2020B notes due Aug. 20, 2030; $10 million of its 3.62% series 2020C notes due Feb. 25, 2040; and $15 million of its 3.92% series 2020D notes due Feb. 25, 2050.
The series 2019A, 2019B and 2019C notes are expected to be issued Oct. 10. The series 2020A, 2020C and 2020D notes are expected to be issued Feb. 25, 2020, while the series 2020B notes are expected to be issued Aug. 20, 2020.
The Otter Tail Corp. subsidiary plans to use the proceeds for capital expenditures and general corporate purposes.
The issuance is subject to certain customary conditions.
U.S. Bank National Association and Bank of America NA acted as placement agents in connection with the notes.
