Summary
CenterPoint Energy, Inc. (CNP) filed an 8-K on June 18, 2008, to report on the final settlement of its 3.75% Convertible Senior Notes due 2023. The company called for redemption of these notes, which matured in 2023, on April 25, 2008. The redemption date was May 30, 2008. Substantially all of the outstanding notes, totaling approximately $390.9 million in aggregate principal amount, were either converted or redeemed. The key event reported is the company's satisfaction of its conversion obligations. This involved issuing approximately $354 million in cash and issuing 11,048,469 shares of CenterPoint Energy's common stock to former noteholders. The issuance of these shares was conducted under the exemption from registration provided by Section 3(a)(9) of the Securities Act of 1933, as the exchange was made directly with existing security holders without any commissions or remunerations.
Key Highlights
- 1CenterPoint Energy (CNP) is reporting on the completion of its convertible senior notes redemption and conversion process.
- 2The company called for redemption of its 3.75% Convertible Senior Notes due 2023 in April 2008, with a redemption date of May 30, 2008.
- 3Approximately $390.9 million in aggregate principal amount of these notes was outstanding at the time of the call.
- 4The company satisfied conversion obligations by issuing approximately $354 million in cash.
- 5A total of 11,048,469 shares of CenterPoint Energy's common stock were issued to former noteholders.
- 6The issuance of common stock to satisfy conversion obligations was conducted under the Section 3(a)(9) exemption from registration.
- 7This filing marks the final settlement of these convertible senior notes.