NiSource Redeems Series B Preferred Stock
Ticker: NI · Form: 8-K · Filed: Mar 14, 2024 · CIK: 1111711
Sentiment: neutral
Topics: preferred-stock, redemption, capital-management
TL;DR
NiSource is paying off $100M in preferred stock on March 14, 2024.
AI Summary
On March 14, 2024, NiSource Inc. filed an 8-K report detailing the redemption of all outstanding depositary shares of its 6.50% Series B Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Stock. The redemption price was $25.00 per depositary share, totaling approximately $100 million in aggregate principal amount. This action was taken to manage its capital structure and reduce future interest expenses.
Why It Matters
NiSource is proactively managing its debt and preferred stock obligations, which could lead to improved financial flexibility and potentially lower future interest costs.
Risk Assessment
Risk Level: low — The filing is a routine financial disclosure regarding the redemption of preferred stock, which is a standard corporate action.
Key Numbers
- $100 million — Aggregate Redemption Amount (Total value of Series B Preferred Stock redeemed.)
- 6.50% — Dividend Rate (Interest rate on the redeemed Series B Preferred Stock.)
- $25.00 — Redemption Price per Share (Price paid for each depositary share.)
Key Players & Entities
- NiSource Inc. (company) — Registrant
- 6.50% Series B Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Stock (company) — Redeemed Security
- $100 million (dollar_amount) — Aggregate redemption amount
- March 14, 2024 (date) — Report date and redemption date
FAQ
What specific series of preferred stock is NiSource redeeming?
NiSource is redeeming its 6.50% Series B Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Stock.
What is the total amount being redeemed?
The total aggregate redemption amount is approximately $100 million.
On what date was this redemption reported?
The report date for this event was March 14, 2024.
What is the redemption price per depositary share?
The redemption price is $25.00 per depositary share.
What is the purpose of this redemption?
The purpose is to manage the company's capital structure and reduce future interest expenses.
Filing Stats: 841 words · 3 min read · ~3 pages · Grade level 10.7 · Accepted 2024-03-14 16:06:59
Key Financial Figures
- $0.01 — ich Registered Common Stock, par value $0.01 per share NI NYSE Depositary Shar
- $25,000 — $0.01 per share, liquidation preference $25,000 per share and a 1/1,000th ownership int
- $650,000,000 — ith respect to the offering and sale of $650,000,000 aggregate principal amount of the Compa
Filing Documents
- d775526d8k.htm (8-K) — 33KB
- d775526dex41.htm (EX-4.1) — 49KB
- d775526dex51.htm (EX-5.1) — 26KB
- g775526g0314013227767.jpg (GRAPHIC) — 4KB
- 0001193125-24-067889.txt ( ) — 286KB
- nix-20240314.xsd (EX-101.SCH) — 4KB
- nix-20240314_def.xml (EX-101.DEF) — 13KB
- nix-20240314_lab.xml (EX-101.LAB) — 21KB
- nix-20240314_pre.xml (EX-101.PRE) — 14KB
- d775526d8k_htm.xml (XML) — 6KB
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits Exhibit Number Description 4.1 Form of 5.350% Notes due 2034 5.1 Opinion of McGuireWoods LLP 23.1 Consent of McGuireWoods LLP (included in Exhibit 5.1) 104 Cover page Interactive Data File (embedded within the Inline XBRL document) Cautionary Statement Concerning Forward-Looking Statements This current report on Form 8-K contains forward-looking statements that are not historical facts, including statements about the anticipated use of proceeds from the sale of the Notes. These statements are based on current expectations and assumptions, which management believes are reasonable, and on information currently available to management, but are necessarily subject to various risks and uncertainties. In addition to the risk that these assumptions prove to be inaccurate, factors that could cause actual results to differ materially from those contemplated by the forward-looking statements include factors disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2023, and its subsequent filings with the SEC, which are available on the Company's website at www.nisource.com and on the SEC's website at www.sec.gov. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether due to new information, future events or otherwise, except to the extent required by law.
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 hereunto duly authorized. NiSource Inc. (Registrant) Date: March 14, 2024 By: /s/ Shawn Anderson Shawn Anderson Executive Vice President and Chief Financial Officer