NextEra Energy Capital Holdings, Inc. announces redemption of all outstanding Series I Junior Subordinated Debentures due Nov. 15, 2072, and Series J Junior Subordinated Debentures due Jan. 15, 2073

Rhea-AI Summary

NextEra Energy Capital Holdings, a subsidiary of NextEra Energy (NYSE: NEE), has announced the redemption of all outstanding Series I and Series J Junior Subordinated Debentures on October 24, 2020. The Series I debentures, totaling $500 million, bear an interest rate of 5.125%, while the Series J debentures, totaling $450 million, have a 5.00% interest rate. Investors will receive the full principal amount along with accrued interest upon redemption. This move highlights NextEra's financial strategy in managing its debt obligations.

Positive

• Redemption of $500 million Series I debentures and $450 million Series J debentures signals strong financial management.
• Continued commitment to debt reduction with the full redemption price being funded.

Negative

• None.

JUNO BEACH, Fla., Sept. 24, 2020 /PRNewswire/ -- NextEra Energy Capital Holdings, Inc., a subsidiary of NextEra Energy, Inc. (NYSE: NEE), today announced that it will redeem on Oct. 24, 2020, ("redemption date") all of its outstanding (i) Series I Junior Subordinated Debentures due Nov. 15, 2072, that bear interest at 5.125% (NYSE: NEE.PRI) (CUSIP: 65339K803) ("Series I debentures") and (ii) Series J Junior Subordinated Debentures due Jan. 15, 2073, that bear interest at 5.00% (NYSE: NEE.PRJ) (CUSIP: 65339K886) ("Series J debentures"), in each case at a redemption price ("redemption price") of 100% of the principal amount thereof plus accrued and unpaid interest to but excluding the redemption date.

The redemption price for each Series I debenture will be equal to $25 (the principal amount of each Series I debenture) plus accrued and unpaid interest from Aug. 15, 2020, to but excluding Oct. 24, 2020, in the amount per Series I debenture of $0.2455729167. The total principal amount of the Series I debentures is $500 million.

The redemption price for each Series J debenture will be equal to $25 (the principal amount of each Series J debenture) plus accrued and unpaid interest from Oct. 15, 2020, to but excluding Oct. 24, 2020, in the amount per Series J debenture of $0.03125. The total principal amount of the Series J debentures is $450 million.

On the redemption date, provided that the trustee has received sufficient funds to complete the redemption, the Series I debentures and the Series J debentures will become due and payable and interest will cease to accrue. Payment of the redemption price shall be made on or after the redemption date, upon presentation and surrender of the respective debentures to the trustee at the following address: The Bank of New York Mellon, Bondmaster Ops – Syracuse-Vault (Tel: 1-800-254-2826), 111 Sanders Creek Parkway, East Syracuse, N.Y. 13057.

NextEra Energy, Inc.
NextEra Energy, Inc. (NYSE: NEE) is a leading clean energy company headquartered in Juno Beach, Florida. NextEra Energy owns two electric companies in Florida: Florida Power & Light Company, which serves more than 5 million customer accounts in Florida and is the largest rate-regulated electric utility in the United States as measured by retail electricity produced and sold; and Gulf Power Company, which serves approximately 470,000 customers in eight counties throughout northwest Florida. NextEra Energy also owns a competitive energy business, NextEra Energy Resources, LLC, which, together with its affiliated entities, is the world's largest generator of renewable energy from the wind and sun and a world leader in battery storage. Through its subsidiaries, NextEra Energy generates clean, emissions-free electricity from eight commercial nuclear power units in Florida, New Hampshire, Iowa and Wisconsin. A Fortune 200 company and included in the S&P 100 index, NextEra Energy has been recognized often by third parties for its efforts in sustainability, corporate responsibility, ethics and compliance, and diversity. NextEra Energy is ranked No. 1 in the electric and gas utilities industry on Fortune's 2020 list of "World's Most Admired Companies" and ranked among the top 25 on Fortune's 2018 list of companies that "Change the World."

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SOURCE NextEra Energy, Inc.

FAQ

What is the redemption date for NextEra Energy's Series I and Series J debentures?

The redemption date for NextEra Energy's Series I and Series J debentures is October 24, 2020.

How much is being redeemed for Series I and Series J Junior Subordinated Debentures?

NextEra Energy is redeeming $500 million in Series I debentures and $450 million in Series J debentures.

What are the interest rates for the Series I and Series J debentures?

The Series I debentures carry an interest rate of 5.125%, while the Series J debentures have a 5.00% interest rate.

What is the redemption price for the debentures?

The redemption price for each debenture is 100% of the principal amount plus accrued and unpaid interest.

Who will pay the redemption price for the debentures?

The redemption price will be paid by NextEra Energy Capital Holdings, provided sufficient funds are available on the redemption date.