BUZZ - Utility company Southern Company rebounds after $1.75 billion convertible issuance

November 13 - ** Utility company Southern Company SO.N saw its stock price rise 1.8% on Friday to $94.09, after the company successfully completed financing to refinance its debt.

** The Atlanta, Georgia-based SO announced late Thursday that it will publicly offer 35 million equity units at $50 per unit, raising $1.75 billion (link)

** These three-year mandatory convertible units have an annual dividend rate of 8.625%; the stock price threshold to trigger conversion is $115.58, which is a 25% premium to the previous trading day's closing price.

** On Thursday, SO shares closed down 1.5% at $92.47, after the company (link) initiated the offering, aiming to partially repurchase 4.50% convertible notes due June 15, 2027.

** The company plans to use the remaining net proceeds to repay all or part of its short-term debt and for general corporate purposes.

** Bank of America and Barclays acted as joint bookrunners, with 14 other investment banks participating in the underwriting.

** Year-to-date, the stock has risen about 8%, outperforming the S&P 500 Utilities Index’s approximately 3% gain .SPLRCU

** According to London Stock Exchange Group (LSEG) data, the average rating from 24 analysts is "Hold"; the median target price is $96.50.

(To assist non-native English speakers, Reuters has automated its reports into several languages. As automated translations may contain errors or lack necessary context, Reuters does not guarantee the accuracy of automated translation texts, which are provided for readers’ convenience only. Reuters accepts no responsibility for any damage or loss caused by the use of the automated translation function.)