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Southern Company to Sell Baby Bonds

Giant utility Southern Company (SO) will be selling a new $25 baby bond. It is noted that the company will be selling a $1,000 series at the same time.

This baby bond will have a maturity in 2060 and proceeds will be used to redeem all or a portion of the 6.25% Junior Subordinated Notes (SOJA).

The issue will be investment grade.

The company has numerous issues outstanding which can be seen here.

The preliminary prospectus can be read here.

EarlyBird got the worm on this one and posits a coupon in the 4.375%-4.50%.

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