NextEra to Raise $1.5 Billion for Funding New Energy Projects

NextEra Energy is set to raise $1.5 billion to finance a range of new energy projects. This capital will be directed towards enhancing renewable energy initiatives and developing sustainable energy solutions. The funding reflects NextEra's commitment to advancing clean energy technologies and expanding its infrastructure, aligning with the growing demand for sustainable energy sources in the market.

Utility company NextEra Energy (NEE.N) announced on Monday its plan to raise $1.5 billion through the sale of equity units to finance new projects.

Across the United States, utility companies are increasing investments in power projects to prepare for a projected rise in demand, driven by artificial intelligence data centers.

This fundraising effort marks the company's second initiative of the year, mainly aimed at investing in its energy and power projects. NextEra, which operates the world's largest renewable energy business and one of the biggest regulated electric utilities in the U.S., reported a backlog of 24 gigawatts (GW) in its renewable sector during the third quarter.

The company stated that each equity unit, priced at $50, will include a contract to purchase NextEra's common stock in three years for cash, with a premium ranging from zero to 25% compared to the closing price on October 28.

NextEra's shares rose 1.8% to $82.87 on Monday but fell 2.4% in after-hours trading.

The offering will also provide a 5% undivided beneficial ownership interest in a NextEra Energy Capital Holdings debt set to mature on November 1, 2029, issued at a principal amount of $1,000, the company noted.

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Source: Reuters‍