Baltimore Gas and Electric Co. sold $400 million of its 3.20% notes due Sept. 15, 2049, according to a Sept. 9 free writing prospectus.
Interest on the notes is payable semiannually on March 15 and Sept. 15, beginning March 15, 2020. The notes have a spread to benchmark Treasury of 115 basis points and were rated A3 by Moody's and A by both S&P Global Ratings and Fitch Ratings.
The Exelon Corp. subsidiary plans to use net proceeds to repay certain outstanding commercial paper obligations and for general corporate purposes. As of Sept. 4, the utility had approximately $270 million of outstanding commercial paper obligations. Pending such use, the utility may temporarily invest the proceeds in short-term, interest-bearing obligations.
BNP Paribas Securities Corp., J.P. Morgan Securities LLC, Wells Fargo Securities LLC and RBC Capital Markets LLC served as joint book-running managers. Loop Capital Markets LLC and The Williams Capital Group LP acted as senior co-managers. The Huntington Investment Co., MFR Securities Inc. and Siebert Cisneros Shank & Co. LLC were co-managers.
