Summary
Atmos Energy Corporation (ATO) announced on October 3, 2022, the successful completion of a public offering of senior notes, raising substantial capital to support its operations and growth. The company issued $300 million of 5.450% Senior Notes due 2032 and $500 million of 5.750% Senior Notes due 2052, totaling $800 million in aggregate principal amount. These notes were issued under a previously established shelf registration statement and will mature in 10 and 30 years, respectively. The net proceeds from this offering, expected to be approximately $789.4 million after underwriting discounts and expenses, will provide Atmos Energy with significant financial flexibility. This capital infusion is likely intended for general corporate purposes, which may include funding capital expenditures, debt refinancing, or other strategic initiatives within the regulated natural gas distribution sector.
Key Highlights
- 1Atmos Energy completed a public offering of $800 million in senior notes.
- 2The offering comprised $300 million of 5.450% Senior Notes due 2032 and $500 million of 5.750% Senior Notes due 2052.
- 3Net proceeds from the offering are expected to be approximately $789.4 million.
- 4The offering was conducted under a registered shelf registration statement (Form S-3).
- 5The notes are governed by an indenture dated March 26, 2009, as modified by an Officers’ Certificate.
- 6The offering is expected to close on or about October 3, 2022, subject to customary conditions.
- 7The underwriting was managed by Mizuho Securities USA LLC, TD Securities (USA) LLC, and U.S. Bancorp Investments, Inc.