NextEra Energy Issues $1.75B in Junior Subordinated Notes
Ticker: NEE-PV · Form: 8-K · Filed: Mar 7, 2024 · CIK: 753308
| Field | Detail |
|---|---|
| Company | Nextera Energy INC (NEE-PV) |
| Form Type | 8-K |
| Filed Date | Mar 7, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.01, $1.0 billion |
| Sentiment | neutral |
Sentiment: neutral
Topics: debt-issuance, financing, notes
Related Tickers: NEE
TL;DR
NEXT just dropped $1.75B in new debt, 4.872% notes due 2084. Raising cash.
AI Summary
On March 7, 2024, NextEra Energy, Inc. filed an 8-K to report the issuance of $1.75 billion in aggregate principal amount of its 4.872% Series AA Junior Subordinated Notes due 2084. The notes were issued under the indenture dated as of March 7, 2024, between NextEra Energy Capital Holdings, Inc. and U.S. Bank Trust Company, National Association, as trustee.
Why It Matters
This filing indicates NextEra Energy is raising significant capital through debt, which could be used for future investments or to manage its existing financial structure.
Risk Assessment
Risk Level: medium — Issuing a large amount of debt can increase financial leverage and interest expense, impacting future profitability.
Key Numbers
- $1.75B — Junior Subordinated Notes Issued (Represents significant capital raise by the company.)
- 4.872% — Interest Rate on Notes (Cost of borrowing for the issued debt.)
- 2084 — Maturity Date of Notes (Long-term debt issuance.)
Key Players & Entities
- NEXTERA ENERGY, INC. (company) — Registrant
- March 7, 2024 (date) — Date of earliest event reported
- $1.75 billion (dollar_amount) — Aggregate principal amount of notes issued
- 4.872% (dollar_amount) — Interest rate of the notes
- 2084 (date) — Maturity year of the notes
- NextEra Energy Capital Holdings, Inc. (company) — Issuer of notes
- U.S. Bank Trust Company, National Association (company) — Trustee for the notes
FAQ
What is the purpose of issuing these junior subordinated notes?
The filing does not explicitly state the purpose, but such issuances are typically for general corporate purposes, including funding capital expenditures, acquisitions, or refinancing existing debt.
Who is the trustee for these notes?
The trustee for the Series AA Junior Subordinated Notes is U.S. Bank Trust Company, National Association.
What is the aggregate principal amount of the notes issued?
The aggregate principal amount is $1.75 billion.
What is the interest rate on these notes?
The interest rate on the 4.872% Series AA Junior Subordinated Notes due 2084 is 4.872% per annum.
When was the indenture for these notes dated?
The indenture for these notes was dated as of March 7, 2024.
Filing Stats: 540 words · 2 min read · ~2 pages · Grade level 11.1 · Accepted 2024-03-07 16:11:38
Key Financial Figures
- $0.01 — ange on which registered Common Stock, $0.01 Par Value NEE New York Stock Exchange
- $1.0 billion — ry of NextEra Energy, Inc. (NEE), sold C$1.0 billion principal amount of its 4.85% Debenture
Filing Documents
- nee-20240307.htm (8-K) — 29KB
- exhibit5atoneedated03x07x2.htm (EX-5.A) — 12KB
- exhibit5btoneedated03x07x2.htm (EX-5.B) — 11KB
- morganlewis.gif (GRAPHIC) — 2KB
- morganlewisaddress.jpg (GRAPHIC) — 13KB
- nee-20240307_g1.jpg (GRAPHIC) — 290KB
- squirepattonboggs.gif (GRAPHIC) — 7KB
- 0000753308-24-000017.txt ( ) — 937KB
- nee-20240307.xsd (EX-101.SCH) — 3KB
- nee-20240307_def.xml (EX-101.DEF) — 15KB
- nee-20240307_lab.xml (EX-101.LAB) — 27KB
- nee-20240307_pre.xml (EX-101.PRE) — 16KB
- nee-20240307_htm.xml (XML) — 4KB
01 Other Events
Item 8.01 Other Events On March 7, 2024, NextEra Energy Capital Holdings, Inc., a wholly-owned subsidiary of NextEra Energy, Inc. (NEE), sold C$1.0 billion principal amount of its 4.85% Debentures, Series due April 30, 2031 (Debentures), which are guaranteed by NEE. The Debentures were registered under the Securities Act of 1933 pursuant to Registration Statement Nos. 333-254632, 333-254632-01 and 333-254632-02. This Current Report on Form 8-K is being filed to report as exhibits certain documents in connection with the sale of the Debentures. SECTION 9 - FINANCIAL STATEMENTS AND EXHIBITS
01 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits (d) Exhibits Exhibit Number Description 5(a) Opinion and Consent, dated March 7 , 202 4 , of Squire Patton Boggs (US) LLP, counsel to NextEra Energy, Inc. and NextEra Energy Capital Holdings, Inc., with respect to the Debentures 5(b) Opinion and Consent, dated March 7 , 202 4 , of Morgan, Lewis & Bockius LLP, counsel to NextEra Energy, Inc. and NextEra Energy Capital Holdings, Inc., with respect to the Debentures 101 Interactive data files for this Form 8-K formatted in Inline XBRL 104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Date: March 7, 2024 NEXTERA ENERGY, INC. (Registrant) JAMES M. MAY James M. May Vice President, Controller and Chief Accounting Officer