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CenterPoint Energy, Inc. announces pricing of public offering of 9,754,194 shares of Common Stock

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CenterPoint Energy (NYSE: CNP) has priced a public offering of 9,754,194 shares of common stock at $25.63 per share, expecting to raise approximately $250 million in gross proceeds. The company plans to use the net proceeds for general corporate purposes, including repaying a portion of outstanding commercial paper. Barclays Capital Inc. and Citigroup are acting as joint book-running managers and underwriters for the offering. The offering is being made through CenterPoint Energy's effective shelf registration statement on Form S-3 filed with the SEC. Prospectus and related documents are available from the SEC's website and the underwriters.

CenterPoint Energy (NYSE: CNP) ha prezzato un'offerta pubblica di 9.754.194 azioni di azioni ordinarie a 25,63 dollari per azione, con l'aspettativa di raccogliere circa 250 milioni di dollari in introiti lordi. L’azienda prevede di utilizzare i proventi netti per scopi aziendali generali, inclusa la restituzione di una parte dei commercial paper in circolazione. Barclays Capital Inc. e Citigroup fungono da co-responsabili del libro e sottoscrittori per l'offerta. L'offerta è effettuata attraverso la registrazione dello scaffale efficace di CenterPoint Energy sulla Form S-3 presentata alla SEC. Il prospetto e i documenti correlati sono disponibili sul sito web della SEC e presso i sottoscrittori.

CenterPoint Energy (NYSE: CNP) ha establecido el precio de una oferta pública de 9,754,194 acciones de acciones ordinarias a $25.63 por acción, con la expectativa de recaudar aproximadamente $250 millones en ingresos brutos. La compañía planea utilizar los ingresos netos para fines corporativos generales, incluyendo el reembolso de una parte del papel comercial pendiente. Barclays Capital Inc. y Citigroup están actuando como co-gestores y suscriptores conjuntos para la oferta. La oferta se realiza a través de la declaración de registro en estantería efectiva de CenterPoint Energy en el Formulario S-3 presentado ante la SEC. El prospecto y los documentos relacionados están disponibles en el sitio web de la SEC y en los suscriptores.

CenterPoint Energy (NYSE: CNP)는 9,754,194주의 보통주에 대한 공개 모집을 주당 $25.63에 가격을 책정하였으며, 약 2억 5천만 달러의 총 수익을 올릴 것으로 예상하고 있습니다. 회사는 순수익을 일반 기업 용도, 특히 현재의 상업어음을 일부 상환하기 위한 용도로 사용할 계획입니다. Barclays Capital Inc.와 Citigroup이 공동 주관 및 인수업무를 수행하고 있습니다. 이번 제공은 CenterPoint Energy의 SEC에 제출된 유효한 선반 등록 양식 S-3를 통해 이루어집니다. prospectus 및 관련 문서는 SEC 웹사이트 및 인수자에게서 제공됩니다.

CenterPoint Energy (NYSE: CNP) a fixé le prix d'une offre publique de 9 754 194 actions de titres ordinaires à 25,63 $ par action, s'attendant à lever environ 250 millions de dollars de recettes brutes. La société prévoit d'utiliser les produits nets à des fins corporatives générales, y compris le remboursement d'une partie des effets commerciaux en circulation. Barclays Capital Inc. et Citigroup agissent en tant que co-responsables de la gestion des livres et souscripteurs pour l'offre. L'offre est effectuée par le biais de la déclaration d'enregistrement en étagère effective de CenterPoint Energy sous le formulaire S-3 déposé auprès de la SEC. Le prospectus et les documents connexes sont disponibles sur le site Web de la SEC et auprès des souscripteurs.

CenterPoint Energy (NYSE: CNP) hat eine öffentliche Angebotsbekanntmachung von 9.754.194 Aktien zum Preis von 25,63 USD pro Aktie festgelegt und erwartet, etwa 250 Millionen USD an Bruttoeinnahmen zu erzielen. Das Unternehmen plant, die Nettoerlöse für allgemeine Unternehmenszwecke zu verwenden, einschließlich der Rückzahlung eines Teils des ausstehenden Handelspapiers. Barclays Capital Inc. und Citigroup fungieren als gemeinsame Buchführer und Underwriter für das Angebot. Das Angebot erfolgt über die effektive Shelf-Registrierungsanmeldung von CenterPoint Energy auf Formular S-3, die bei der SEC eingereicht wurde. Der Prospekt und die zugehörigen Dokumente sind auf der Website der SEC sowie bei den Underwritern erhältlich.

Positive
  • Expected to raise approximately $250 million in gross proceeds
  • Funds to be used for general corporate purposes and debt repayment
  • Offering made through an effective shelf registration statement
Negative
  • Potential dilution of existing shareholders' ownership
  • Increase in outstanding shares may impact earnings per share

Insights

CenterPoint Energy's $250 million common stock offering is a significant move that warrants investor attention. This equity raise will strengthen the company's balance sheet by reducing commercial paper debt, which is typically short-term. The 3.8% share dilution (based on 258 million shares outstanding) is relatively modest given the capital raised.

The pricing at $25.63 per share represents a slight discount to the current market price, which is common in such offerings to ensure full subscription. This move suggests management's focus on maintaining financial flexibility, potentially preparing for future investments or navigating uncertain market conditions. Investors should monitor how effectively the company deploys this capital and its impact on future earnings per share.

CenterPoint Energy's decision to raise equity capital is indicative of broader trends in the utility sector. With rising interest rates and increasing capital expenditure needs for grid modernization and clean energy transitions, many utilities are turning to equity markets to balance their capital structure.

This move may signal CenterPoint's intention to accelerate its infrastructure investments or prepare for potential regulatory changes. The use of proceeds to repay commercial paper suggests a prudent approach to managing short-term liabilities. Investors should consider how this capital raise aligns with CenterPoint's long-term strategy and its potential impact on the company's regulatory capital structure, which can affect allowed returns in rate cases.

HOUSTON--(BUSINESS WIRE)-- CenterPoint Energy, Inc. (NYSE: CNP) today announced the pricing of an underwritten public offering of 9,754,194 shares of its common stock, par value $0.01 per share, at a public offering price of $25.63 per share, for expected gross proceeds of approximately $250 million before deducting estimated offering expenses. CenterPoint Energy intends to use the net proceeds from the offering for general corporate purposes, including repayment of a portion of our outstanding commercial paper. Proceeds from our commercial paper were used for general corporate purposes, including working capital purposes.

Barclays Capital Inc. and Citigroup are acting as joint book-running managers and underwriters for the offering.

The offering is being made pursuant to CenterPoint Energy’s effective shelf registration statement on Form S-3 previously filed with the Securities and Exchange Commission (SEC). The offering will be made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended. Copies of the prospectus supplement and accompanying base prospectus meeting such requirements related to each offering may be obtained free of charge from the SEC's website, www.sec.gov or from:

Barclays Capital Inc.,
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, New York 11717
Barclaysprospectus@broadbridge.com
(888) 603-5847

Citigroup
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, New York 11717
(Tel: 800 831-9146)

CenterPoint Energy's common stock is listed on the New York Stock Exchange and the NYSE Chicago under the symbol CNP.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any shares of common stock or any other securities, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

This press release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this press release regarding the size and terms of the offering, the use of proceeds from the offering, and other statements that are not historical facts, are forward-looking statements. Factors that could affect actual results include, but are not limited to, factors, risk and uncertainties discussed in CenterPoint Energy, Inc.’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and CenterPoint’s Quarterly Reports on Form 10-Q for the quarters ended March 31, 2024 and June 30, 2024 and other reports CenterPoint Energy may file from time to time with the Securities and Exchange Commission.

As the only investor-owned electric and natural gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Indiana, Louisiana, Minnesota, Mississippi, Ohio, and Texas. As of June 30, 2024, the company owned approximately $41 billion in assets. With approximately 9,000 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years.

Media:

Communications

media.relations@centerpointenergy.com

Investors:

Jackie Richert / Ben Vallejo

713.207.6500

Source: CenterPoint Energy, Inc.

FAQ

What is the price per share for CenterPoint Energy's (CNP) public offering?

CenterPoint Energy (CNP) has priced its public offering at $25.63 per share.

How many shares is CenterPoint Energy (CNP) offering in its public offering?

CenterPoint Energy (CNP) is offering 9,754,194 shares of its common stock in the public offering.

What are the expected gross proceeds from CenterPoint Energy's (CNP) public offering?

CenterPoint Energy (CNP) expects to raise approximately $250 million in gross proceeds from the public offering.

How does CenterPoint Energy (CNP) plan to use the proceeds from its public offering?

CenterPoint Energy (CNP) intends to use the net proceeds for general corporate purposes, including repayment of a portion of its outstanding commercial paper.

CenterPoint Energy, Inc.

NYSE:CNP

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