NorthWestern Energy offering $348M in common stock to help pay for purchase of Montana dams
NorthWestern Corp. plans an offering of up to $348 million in stock to help pay for its $900 million purchase of 11 hydroelectric dams in Montana from PPL Montana.
NorthWestern received permission Friday from the Federal Energy Regulatory Commission to raise money for the purchase of the dams, and the company announced the stock offering Monday.
The underwriters — Credit Suisse, Bank of America Merrill Lynch and J.P. Morgan — will purchase the stock to sell to their customers. They also will have the option to purchase up to another $52 million in stock, depending on demand.
NorthWestern plans to use the proceeds from the stock offering as well as $450 million in bond sales and cash to pay for the dams. NorthWestern expects to close its purchase with PPL Montana within a month.
NorthWestern Energy stock has ranged from $41.31 to $53.45 over the past year. It closed at $52.56 per share Monday and fell to $52 in after-hours trading.