Pacific Gas and Electric Company has selected Loop Capital Markets, an African Americanowned investment bank headquartered in Chicago, as one of four firms to manage a $400 million offering of 30-year bonds.
The company also engaged two other diverse firms – womanowned MFR Securities in New York and service disabled veteran- owned Mischler Financial Group in Southern California – to join BNY Mellon Capital Markets, LLC and RBC Capital Markets as co-managers of the deal.
“We are proud to work with these firms to complete this transaction,” said Kent Harvey, Senior Vice President and Chief Financial Officer of PG&E Corporation. “The low-cost financing this provides represents a great outcome for our customers, and it’s another example of the way PG&E is continuing to leverage the capabilities of diverse suppliers in keeping with our strong commitment to supplier diversity.” This bond transaction is the third that PG&E has completed with a minority-owned investment bank as a lead manager. The bonds mature on April 15, 2042, and bear an interest rate of 4.45 percent – a record-low 30-year coupon for PG&E. The bonds are rated “A3” by Moody’s Investors Service and “BBB” by Standard & Poor’s. Proceeds from the bonds will be used primarily for general corporate purposes, including repaying a portion of the utility’s outstanding commercial paper. “We were delighted to work with PG&E on this important transaction,” said Jim Reynolds, Chairman and Chief Executive Officer of Loop Capital Markets.
“The company was patient in accessing the markets and really benefitted from enthusiastic participation by a broad range of investors seeking to have a highquality bond in their portfolio.” “Supporting the development of women-, minority-, or disabled veteran-owned investment banks is an important step in helping meet diversity procurement goals,” said Commissioner Timothy Alan Simon of the California Public Utilities Commission (CPUC). “The CPUC will continue to work with California utilities to assure that diverse
businesses fully participate in our state’s economic gains.” For information on PG&E’s supplier diversity program or to learn how to apply to become a certified diverse supplier, visit www.pge.com/supplierdiversity/. For more information, visit www.pge.com/about/newsroom/ and www.pgecurrents.com