CHARLOTTE (dpa-AFX) - NextEra Energy Inc. (NEE) said it has agreed to sell $600 million of equity units to BofA Merrill Lynch (BAC). NextEra Energy has granted BofA Merrill Lynch an option to buy an additional $90 million of equity units to cover over-allotments. The transaction may close on May 4, 2012.
The company said each equity unit would be issued in a stated amount of $50, and each equity unit would include a contract to buy NextEra Energy stock in the future, and a 1/20th, or 5 percent, undivided beneficial ownership interest in a NextEra Energy Capital Holdings, Inc. debenture due June 1, 2017, in the principal amount of $1,000.
The debentures would be guaranteed by NextEra Energy Capital Holdings' parent company, NextEra Energy Inc. Each stock purchase contract would require the holder to buy NextEra Energy stock for cash, based on a per share price range of $64.35 to $77.22.
NextEra Energy Capital Holdings would add the net proceeds from the sale of the NextEra Energy Capital Holdings debentures, which are expected to be some $582 million or about $669 million if the overallotment option is exercised in full to its general funds.
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