Algonquin Power & Utilities Corp. has priced a $250 million aggregate principal amount of 6.875% fixed-to-floating subordinated notes due Oct. 17, 2078.

The company intends to use the proceeds for general corporate purposes, including the repayment of outstanding indebtedness.

The sale is expected to close on Oct. 17 and notes will be listed on New York Stock Exchange.

Bank of America Merrill Lynch, J.P. Morgan, Morgan Stanley, Wells Fargo Securities and RBC Capital Markets are book-running managers, and BMO Capital Markets and CIBC Capital Markets are co-managers. Underwriters have the option to purchase up to an additional $37.5 million of the notes at the public offering price, less the overwriting discount, to cover any overallotments.