Summary
Sempra Energy (SRE) has announced the successful closing of its public offering and sale of 900,000 shares of its 4.875% Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Stock, Series C. This transaction, which closed on June 19, 2020, generated approximately $891 million in proceeds for the company, after accounting for underwriting discounts but before offering expenses. The issuance was conducted under an effective shelf registration statement previously filed with the SEC. This offering represents a significant capital raise for Sempra Energy, likely intended to bolster its financial position and fund future operational needs or strategic initiatives. Investors holding or considering Sempra's preferred stock should note the fixed-rate reset feature, which may impact future dividend yields, and the perpetual nature of the stock, which does not have a maturity date. The terms of the Series C Preferred Stock are detailed in a Certificate of Determination filed with the State of California.
Key Highlights
- 1Sempra Energy closed a public offering of 900,000 shares of Series C Preferred Stock on June 19, 2020.
- 2The offering generated approximately $891 million in net proceeds (after underwriting discounts, before expenses).
- 3The Series C Preferred Stock carries a fixed dividend rate of 4.875%.
- 4The preferred stock is cumulative, redeemable, and perpetual.
- 5The issuance was made under an effective shelf registration statement on Form S-3.
- 6Detailed terms of the Series C Preferred Stock are available in a filed Certificate of Determination.