SO · News · 20260804N
Convertible Debt Offering
SOUTHERN CO · 2026-08-04 · Importance 45 · Surprise 42 · In source text
Southern Company priced $725 million of Series 2026A 2.125% convertible senior notes due December 15, 2027, and $1.65 billion of Series 2026B 3.50% convertible senior notes due September 15, 2029. The company expects approximately $403 million of net proceeds to repurchase Series 2024A 4.50% convertible senior notes. Remaining proceeds are earmarked for short-term debt repayment and general corporate purposes, increasing financing capacity while creating potential equity dilution through the conversion features.
Key facts
- Southern Company announced the upsize and pricing of $1.65 billion of Series 2026B 3.50% Notes due September 15, 2029. source
- Southern Company announced the upsize and pricing of $725 million of Series 2026A 2.125% Notes due December 15, 2027. source
- The offerings are expected to close on August 6, 2026. source
- The company plans to use approximately $403 million of the net proceeds to repurchase its Series 2024A 4.50% Convertible Senior Notes. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | negative | committed | — | Southern Company announced the upsize and pricing of $1.65 billion of Series 2026B 3.50% Notes due September 15, 2029. |
| cash | positive | committed | — | Southern Company announced the upsize and pricing of $1.65 billion of Series 2026B 3.50% Notes due September 15, 2029. |
| liability | negative | committed | — | Southern Company announced the upsize and pricing of $725 million of Series 2026A 2.125% Notes due December 15, 2027. |
| cash | positive | committed | — | Southern Company announced the upsize and pricing of $725 million of Series 2026A 2.125% Notes due December 15, 2027. |