OAKVILLE, ON, Sept. 16, 2020 /CNW/ - Liberty Utilities Co. ("Liberty Utilities"), a subsidiary of Algonquin Power & Utilities Corp. ("APUC") (TSX/NYSE: AQN), today announced that its financing affiliate, Liberty Utilities Finance GP1, has priced an offering of $600 million aggregate principal amount of 2.050% senior notes due 2030 (the "Notes").
The offering represents Liberty's inaugural offering into the U.S. 144A market. Liberty Utilities intends to use the proceeds from this offering to finance or refinance certain wind energy projects and other eligible green investments.
The Notes are fully and unconditionally guaranteed on a senior unsecured basis by Liberty Utilities and will rank equally with all of Liberty Utilities existing and future unsecured and unsubordinated indebtedness and senior in right of payment to all of Liberty Utilities future subordinated indebtedness. APUC is not a guarantor or obligor of the Notes. The Notes were priced at an issue price of 99.740% of their face value and will mature on September 15, 2030. The offering is expected to close on September 23, 2020, subject to customary closing conditions.
The Notes were offered and will be sold in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons in transactions outside the United States pursuant to Regulation S under the Securities Act. The Notes have not been registered under the Securities Act or any state securities laws and may not be offered or sold in the United States or to, or for the benefit of, U.S. persons absent registration under, or an applicable exemption from, the registration requirements of the Securities Act and applicable state securities laws.
This announcement does not constitute an offer to sell or a solicitation of an offer to buy the Notes or any other security and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which, or to any persons to whom, such an offer, solicitation or sale would be unlawful. Any offers of the Notes will be made only by means of a private offering memorandum.
About Liberty Utilities Co.
Liberty Utilities Co. operates a diversified portfolio of primarily regulated utility systems throughout the United States serving approximately 795,000 connections as of June 30, 2020. Liberty seeks to provide safe, high quality and reliable services to its customers and to deliver stable and predictable earnings.
About Algonquin Power & Utilities Corp.
APUC is a diversified international generation, transmission and distribution utility with approximately U.S.$11 billion of total assets. Through its two business groups, APUC is committed to providing safe, reliable and cost effective rate-regulated natural gas, water, and electricity generation, transmission and distribution utility services to approximately 807,000 connections in the United States and Canada, and is a global leader in renewable energy through its portfolio of long-term contracted wind, solar and hydroelectric generating facilities representing over 2 GW of installed capacity and more than 1.6 GW of incremental renewable energy capacity under construction.
APUC strives to deliver continuing growth through an expanding global pipeline of renewable energy, electric transmission, and water infrastructure development projects, organic growth within its rate-regulated generation, distribution and transmission businesses, and the pursuit of accretive acquisitions. APUC's common shares, Series A preferred shares, and Series D preferred shares are listed on the Toronto Stock Exchange under the symbols AQN, AQN.PR.A, and AQN.PR.D, respectively. APUC's common shares, Series 2018-A subordinated notes and Series 2019-A subordinated notes are listed on the New York Stock Exchange under the symbols AQN, AQNA and AQNB, respectively.
Certain written statements included herein constitute "forward-looking information" within the meaning of applicable securities laws in each of the provinces of Canada and the respective policies, regulations and rules under such laws and "forward-looking statements" within the meaning of applicable securities laws in the United States, including Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (collectively, "forward-looking statements"). The words "will", "expects", "intends", "plans", "should" and similar expressions are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Specific forward-looking statements contained herein include, but are not limited to statements regarding the closing of the offering and the use of proceeds therefrom. These statements are based on factors or assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions based on historical trends, current conditions and expected future developments. Since forward-looking statements relate to future events and conditions, by their nature they rely upon assumptions and involve inherent risks and uncertainties. Each of APUC and Liberty Utilities cautions that although it is believed that the assumptions are reasonable in the circumstances, actual results may differ materially from the expectations set out in the forward-looking statements. Material risk factors and assumptions include those set out in APUC's most recent annual and interim Management's Discussion and Analysis and most recent Annual Information Form, filed with securities regulatory authorities in Canada and the United States. Given these risks, undue reliance should not be placed on these forward-looking statements, which apply only as of their dates. Other than as specifically required by law, neither APUC nor Liberty Utilities undertakes any obligation to update any forward-looking statements to reflect new information, subsequent or otherwise.
SOURCE Liberty Utilities
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