Bonding with Scottish and Southern Energy
Scottish and Southern Energy (SSE) supplies electricity and gas to over 9 million customers within the UK’s competitive electricity and gas supply market, and the utility supplier is continuing to grow within the current financial year. SSE is the second largest supplier of energy in the UK where according to a press release issued last week the company issued a 9 year, £500 million sterling bond with a coupon of 5%.
This means that the total funding secured since July 2008 by SSE is £2.9 billion and is made up of new bonds along with loans with an average rate of interest of 6.17%, together with proceeds from the placing of 42 million new ordinary shares in January this year.
SSE’s financial director, Gregor Alexander, states that the company retains a flexible approach to financing investment, and considers all opportunities like this bond that will help to maintain financial strength for the long-term.
Source;
Scottish-southern.co.uk/ Media Centre (Press release-New nine year bond issue)