Union Electric Issued $450 million First Mortgage Bonds

September 12, 2012 11:34 by Bill Conway in Financing  //  Tags:   //   Comments (0)

According to Ameren Corporation's Form 8-K, Union Electric, doing business as Ameren Missouri, a subsidiary of Ameren Corporation, issued and sold $485,000,000 principal amount of its 3.90% Senior Secured Notes due 2042, pursuant to a Registration Statement on Form S-3 (File No. 333-182258-02), which became effective on June 21, 2012, and a Prospectus Supplement dated September 6, 2012 to a Prospectus dated June 21, 2012. 

Ameren Missouri received net offering proceeds of approximately $478.2 million, before expenses, upon the closing of the transaction.  Ameren Missouri intends to use the net offering proceeds, together with other available cash, to provide the total amount of funds required to complete its previously announced tender offer (the “Tender Offer”) to repurchase for cash its outstanding 6.00% Senior Secured Notes due 2018 (the “6.00% Notes”), 6.70% Senior Secured Notes due 2019 (the “6.70% Notes”), 5.10% Senior Secured Notes due 2018 (the “2018 5.10% Notes”) and 5.10% Senior Secured Notes due 2019 (the “2019 5.10% Notes” and, together with the 6.00% Notes, the 6.70% Notes and the 2018 5.10% Senior Notes, the “Tender Offer Notes”), including the payment of interest on the Tender Offer Notes purchased thereunder and all related fees and expenses.

The maximum aggregate purchase price (including principal and premium) for the Tender Offer Notes will be $377 million (the “Maximum Tender Amount”).  Ameren Missouri also expects to use the net proceeds from the offering of the New Notes to refinance $173,000,000 principal amount of its 5.25% senior secured notes that matured on September 1, 2012.  See the full report here...


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