Houston - Oct. 5, 2018 - CenterPoint Energy, Inc. (NYSE: CNP) today announced the closing of its offering and sale of $1.5 billion of senior notes comprised of $500 million aggregate principal amount of 3.60% senior notes due 2021, $500 million aggregate principal amount of 3.85% senior notes due 2024; and $500 million aggregate principal amount of 4.25% senior notes due 2028.
CenterPoint Energy intends to use the net proceeds from the offering to finance a portion of the cash consideration payable by CenterPoint Energy in connection with its pending merger with Vectren Corporation (Vectren Merger), as well as a portion of the related fees and expenses. If for any reason the Vectren Merger is not completed on or prior to Oct. 31, 2019, CenterPoint Energy will be required to redeem all of the senior notes at a redemption price equal to 101% of the principal amount of the senior notes plus accrued and unpaid interest, if any, to, but excluding the date of redemption.
Goldman Sachs & Co. LLC, Morgan Stanley, Mizuho Securities, MUFG and RBC Capital Markets served as joint bookrunners. Additional joint book-running managers were PNC Capital Markets LLC, Regions Securities LLC, TD Securities and US Bancorp. Senior co-managers were BNY Mellon Capital Markets, LLC and Comerica Securities. Guggenheim Securities, LLC and Loop Capital Markets served as co-managers.
This news release does not constitute an offer to sell, or the solicitation of any offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offering would be unlawful.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns 54.0 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership it jointly controls with OGE Energy Corp. Enable Midstream Partners, LP owns, operates and develops natural gas and crude oil infrastructure assets. With more than 8,000 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years.
This press release includes forward-looking statements that are not historical facts. Actual events and results may differ materially from those projected. Forward-looking statements in this press release include, but are not limited to, the use of proceeds from the offering and the Vectren Merger. Factors that could affect actual results include, but are not limited to, the factors discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2017, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2018, and June 30, 2018, and CenterPoint Energy's other SEC filings.
Factors that could affect the company's ability to complete the Vectren Merger include, but are not limited to, the satisfaction of the conditions to the Vectren Merger discussed in the prospectus supplement and accompanying base prospectus and other factors discussed in the company's SEC filings.