Algonquin Power (NYSE:AQN) has issued a new fixed to floating rate subordinated note issue. The issue is rated BB+ by both Standard and Poors and Fitch.
The issue is not yet trading and the ticker is not known–although we are guessing that it will be AQNB
The new issue will have a initial fixed coupon of 6.20% which will be in place until 7/1/2024 after which it will float at a rate of 3 month Libor plus a spread of 4.01% until 7/1/2029. Then it will float at 3 month Libor plus 4.26% until 2049. From 2049 until maturity in 2079 it will float at 3 month Libor plus 5.01%.
The notes have the normal optional redemption period beginning 7/1/2024.
Currently AQN has a 6.875% fixed to floating rate issue which can be seen here.
Thanks to all for all the discussion on this new issue on the Reader Initiated Alert page.