Hannon Armstrong Announces Proposed Private Offering of $200 Million Green Exchangeable Senior Notes
Hannon Armstrong Sustainable Infrastructure Capital (NYSE: HASI) has announced a private offering of $200 million in green exchangeable senior notes due 2025. The offering, subject to market conditions, is led by HAT Holdings I and II, with the intention to utilize proceeds for eligible green projects. The notes, which will yield returns based on their principal accretion, are exchangeable for common stock, providing flexibility for investors. An additional $30 million may be offered to initial purchasers.
- Proceeds will be used to acquire or refinance eligible green projects, supporting sustainability.
- The offering enhances Hannon Armstrong's capital structure, with potential growth from green investments.
- The offering may lead to shareholder dilution due to potential conversion of notes into stock.
Upon any exchange of the Notes, holders will receive a number of shares of the Company’s common stock equal to the product of (i) the aggregate initial principal amount of Notes to be exchanged, divided by
The Company intends to utilize the net proceeds of this offering to acquire or refinance, in whole or in part, new and/or existing eligible green projects, which include assets that are neutral to negative on incremental carbon emissions. In addition, these eligible green projects may include projects with disbursements made during the twelve months preceding the issue date of the Notes and those with disbursements to be made following the issue date. Prior to the full investment of such net proceeds, the Company intends to invest such net proceeds in interest-bearing accounts and short-term, interest-bearing securities which are consistent with the Company’s intention to continue to qualify for taxation as a REIT.
The Notes and the related guarantees will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The Notes and the related guarantees will not be registered under the Securities Act or any state securities laws and may not be offered or sold in
This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Hannon Armstrong
Forward-Looking Statements
Some of the information in this press release contains forward-looking statements and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. When used in this press release, words such as “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “should,” “may,” “target,” or similar expressions, are intended to identify such forward-looking statements. Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements include those discussed under the caption “Risk Factors” included in the Company’s Annual Report on Form 10-K for the Company’s fiscal year ended
Forward-looking statements are based on beliefs, assumptions and expectations as of the date of this press release. The Company disclaims any obligation to publicly release the results of any revisions to these forward-looking statements reflecting new estimates, events or circumstances after the date of this press release.
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