Loan & DebtJun 5, 2026, 10:01 AM
Otter Tail Power Issues $70M Series 2026B Senior Unsecured Notes
AI Summary
Otter Tail Power Company, a wholly owned subsidiary of Otter Tail Corp, issued $70 million in 6.04% Series 2026B Senior Unsecured Notes due June 4, 2056. This issuance completes the previously announced $170 million Note Purchase Agreement. The proceeds will be used to fund capital expenditures, refinance existing indebtedness, and for general corporate purposes. The Note Purchase Agreement includes financial covenants and restrictions on OTP's business operations.
Key Highlights
- Otter Tail Power issued $70,000,000 of 6.04% Series 2026B Senior Unsecured Notes.
- The Series 2026B Notes are due on June 4, 2056.
- This issuance completes the previously announced $170,000,000 Note Purchase Agreement.
- Proceeds will fund capital expenditures, refinance existing indebtedness, and for general corporate purposes.
- Interest-bearing Debt may not exceed 65% of Total Capitalization.
- Priority Indebtedness may not exceed 20% of Total Capitalization.
- Notes are prepayable at 100% principal plus accrued interest and a make-whole amount.
Price Impact
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