Summary
Sempra's indirect subsidiary, Southern California Gas Company (SoCalGas), has successfully closed a public offering of $500 million in 5.500% First Mortgage Bonds, Series GGG, due in 2036. This issuance, registered under a Form S-3 registration statement, will provide SoCalGas with capital, with net proceeds of approximately 98.755% of the principal amount after underwriting discounts, totaling roughly $493.78 million. The company anticipates additional offering expenses of about $1.1 million.
Key Highlights
- 1SoCalGas closed a $500 million public offering of 5.500% First Mortgage Bonds, Series GGG, maturing in 2036.
- 2The offering was registered under Southern California Gas Company's existing Form S-3 registration statement.
- 3Net proceeds after underwriting discounts are approximately $493.78 million.
- 4Estimated additional offering expenses for the company are around $1.1 million.
- 5The bonds will bear interest at a fixed rate of 5.500% per annum.
- 6Interest payments will be made semiannually on March 1 and September 1, commencing March 1, 2027.
- 7The bonds are redeemable prior to maturity at the company's option, with specific redemption prices detailed in the Supplemental Indenture.
Frequently Asked Questions
The bond issuance is for Sempra's indirect subsidiary, Southern California Gas Company (SoCalGas). The proceeds are intended to provide capital for SoCalGas's operations and strategic initiatives.
The bonds carry a fixed interest rate of 5.500% per annum and will mature on September 1, 2036.
Southern California Gas Company raised $500 million in aggregate principal amount from this bond offering. After deducting underwriting discounts, the net proceeds to the company are approximately $493.78 million.
Interest payments will be made semiannually in arrears on March 1 and September 1 of each year, with the first payment due on March 1, 2027.