Two PPL Corp. subsidiaries sold $700 million of first mortgage bonds to repay short-term debt and for general corporate purposes.

Louisville Gas and Electric Co. sold $400 million of its 4.25% bonds due April 1, 2049, and Kentucky Utilities Co. sold $300 million of its 4.375% bonds due Oct. 1, 2045. The 4.375% bonds are part of the same series of bonds as the $250 million of 4.375% bonds the utility originally issued in September 2015.

As of Dec. 31, Louisville Gas and Electric had $279 million of outstanding short-term debt, including commercial paper borrowings, and $200 million term loan due in October; and Kentucky Utilities had $235 million of outstanding short-term debt.

Interest on the bonds is payable semiannually on April 1 and Oct. 1, starting Oct. 1. The securities have a spread to benchmark Treasury of 125 basis points, according to March 18 free writing prospectuses.

Merrill Lynch Pierce Fenner & Smith Inc., Mizuho Securities USA LLC, MUFG Securities Americas Inc., Morgan Stanley & Co. LLC and PNC Capital Markets LLC acted as joint book-running managers for the Louisville Gas and Electric offering.

The joint book-running managers for the Kentucky Utilities offering were Merrill Lynch Pierce Fenner & Smith Inc., Mizuho Securities USA LLC, MUFG Securities Americas Inc., RBC Capital Markets LLC and Scotia Capital (USA) Inc.

BMO Capital Markets Corp., BNP Paribas Securities Corp., BNY Mellon Capital Markets LLC and U.S. Bancorp Investments Inc. served as co-managers for both offerings.