Algonquin Power & Utilities Corp T.AQN

New Press Release - Algonquin Power & Utilities Corp. Announces Redemption of its 6.875% Fixed-to-Floating Subordinated Notes - Series 2018-A due 2078

OAKVILLE, ON, Oct. 6, 2023 /PRNewswire/ - Algonquin Power & Utilities Corp. ("AQN", "Algonquin" or the "Company") (TSX: AQN) (NYSE: AQN) today announced that on November 6, 2023 (the "Redemption Date") it will redeem all $287,500,000 aggregate principal amount of its outstanding 6.875% Fixed-to...read article.

[Eastbank]

Question...How will AQN fund the $287.5 million redemption of these notes??

[bmbruce]

just an opinion.....they are likely exploring a range of strategies to fund the bond redemption… one potential approach involves the issuance of new debt, which may carry more favorable terms compared to the 6.875% fixed interest rate on the existing 6.875% fixed-to-floating subordinated notes issued in 2018…..this could be a means to secure the necessary funds for the redemption. …alternatively

[Eastbank]

BMBRUCE...Thanks. I've already considered all those alternatives you described, but with the committed redemption date of Nov 6th looming, they must by now have locked up an arrangement to finalize...which they have yet to tell investors.

[AlwaysLong683]

From the Press Release:   Algonquin Power & Utilities Corp. today announced that on November 6, 2023 it will redeem all $287,500,000 aggregate principal amount of its outstanding 6.875% Fixed-to-Floating Subordinated Notes – Series 2018-A due October 17, 2078...   Not sure where AQN is getting the money, but: 1) With banks paying over 5% interest to average joes on GICs (where

[Capharnaum]

As of June 30th, they had $1.8B of cash and liquidity available (including revolving credit facilities).

[BSdetector2016]

Issue more shares. If it's stupid they'll do it.