/NOT FOR DISSEMINATION OR DISTRIBUTION IN
THE UNITED STATES AND NOT FOR
DISTRIBUTION TO UNITED STATES
NEWSWIRE SERVICES OR TO U.S. PERSONS./
OAKVILLE, ON, Jan. 17, 2017 /CNW/ - Algonquin Power &
Utilities Corp. ("APUC") (TSX: AQN, NYSE: AQN) announced today that
Algonquin Power Co. ("APCo"), APUC's wholly-owned, renewable power
generation subsidiary, has completed the previously announced
private placement offering in Canada and the
United States (the "Offering") of CDN$300 million 4.09% senior unsecured debentures
with a maturity date of February 17,
2027 (the "APCo Debentures"). The APCo Debentures were
offered at a price of $99.929 per
$100.00 principal amount, resulting
in an effective yield to maturity of 4.099% per annum.
Net proceeds from the APCo Debentures will be used to repay
existing indebtedness and for APCo's general corporate purposes.
Concurrent with the Offering, APCo entered into a cross currency
swap, coterminous with the APCo Debentures, to convert the Canadian
dollar denominated proceeds from the Offering into U.S. dollars,
resulting in an effective interest rate throughout the term of the
APCo Debentures of approximately 4.85%.
APCo has been provided long-term issuer credit ratings of "BBB
(low)", by DBRS Limited and "BBB", with a "negative" outlook, by
Standard & Poor's Rating Service. The APCo Debentures have
received final ratings of "BBB (low)", by DBRS Limited and "BBB" by
S&P.
The APCo Debenture offering was co-led by National Bank
Financial Inc. and CIBC World Markets Inc.
THE OFFER AND SALE OF THE ALGONQUIN POWER CO. DEBENTURES HAS
NOT BEEN AND WILL NOT BE REGISTERED UNDER THE U.S. SECURITIES ACT
OF 1933, AS AMENDED (THE "SECURITIES ACT") OR THE SECURITIES LAWS
OF ANY STATE OF THE UNITED STATES. THEREFORE, THIS
COMMUNICATION DOES NOT CONSTITUTE AN OFFER TO SELL OR A
SOLICITATION OF AN OFFER TO BUY ANY OF THE DEBENTURES IN
THE UNITED STATES AND THE
DEBENTURES MAY NOT BE SOLD IN THE UNITED
STATES OR TO U.S. PERSONS (AS DEFINED IN RULE 902(K) OF
REGULATION S UNDER THE SECURITIES ACT), EXCEPT PURSUANT TO AN
EXEMPTION FROM THE REGISTRATION REQUIREMENT OF THE SECURITIES ACT
AND APPLICABLE STATE SECURITIES LAWS. ACCORDINGLY, THE ALGONQUIN
POWER CO. DEBENTURES ARE BEING OFFERED ONLY (1) TO A LIMITED NUMBER
OF QUALIFIED INSTITUTIONAL ACCREDITED INVESTORS IN TRANSACTIONS
EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND
(2) OUTSIDE THE UNITED STATES IN
COMPLIANCE WITH REGULATION S AND THE APPLICABLE LAWS OF THE
JURISDICTIONS WHERE THOSE OFFERS AND SALES OCCUR.
About Algonquin Power & Utilities Corp.
APUC is a North American diversified generation, transmission
and distribution utility with $10
billion of total assets. Liberty Utilities provides rate
regulated natural gas, water and electricity generation,
transmission and distribution utility services to over 782,000
customers in the United States.
APUC is committed to being a North American leader in the
generation of clean energy through its portfolio of long term
contacted wind, solar and hydroelectric generating facilities
representing more than 1,150 MW of installed capacity. APUC
delivers continuing growth through an expanding pipeline of
renewable energy development projects, organic growth within its
rate regulated generation, distribution and transmission
businesses, and the pursuit of accretive acquisitions. Common
shares, preferred shares, and instalment receipts are traded on the
Toronto Stock Exchange under the symbols AQN, AQN.PR.A, AQN.PR.D,
and AQN.IR. APUC's common shares are also listed on the New
York Stock Exchange under the symbol AQN. Visit APUC at
www.AlgonquinPowerandUtilities.com and follow us on Twitter
@AQN_Utilities.
Caution Regarding Forward-Looking Information
Certain matters discussed in this press release are
"forward-looking statements" within the meaning of applicable
securities laws. Statements that are not historical facts,
including statements about beliefs, expectations, estimates,
projections, goals, forecasts, assumptions, risks and
uncertainties, are forward-looking statements. Forward-looking
statements are often characterized by the use of words such as
"believes," "estimates," "expects," "projects," "may," "intends,"
"plans," "anticipates," "pro forma," "predicts," "seeks," "could,"
"would," "will," "can," "continue" or "potential" and the negative
of these terms or other comparable or similar terminology or
expressions. The forward-looking statements in this press release
include, without limitation, statements relating to the intended
use of proceeds and the final rating of the APCo Debentures. These
statements reflect APUC management's current beliefs and are based
on information currently available to APUC. Certain factors or
assumptions have been applied in drawing the conclusions contained
in the forward-looking statements (some of which may prove to be
incorrect). APUC cautions readers that a number of factors could
cause actual results, performance or achievement to differ
materially from the results discussed or implied in the
forward-looking statements.
Additional detailed information about these assumptions, risks
and uncertainties is included in APUC's securities regulatory
filings, including under the heading "Enterprise Risk Management"
in APUC's annual Management's Discussion and Analysis and in its
Annual Information Form, which can be found on SEDAR at
www.sedar.com. Except as required by law, APUC disclaims any
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
SOURCE Algonquin Power & Utilities Corp.