Pinnacle West Announces Proposed Public Offering Of $650M Of Common Stock In Connection With The Forward Sale Agreements
Portfolio Pulse from Benzinga Newsdesk
Pinnacle West Capital Corp. (PNW) is initiating a public offering of $650 million of its common stock, with an option for underwriters to purchase an additional $97.5 million. The offering is in connection with forward sale agreements and will be managed by Barclays, Citigroup, Mizuho, and Wells Fargo Securities. The shares may be sold on the NYSE, over-the-counter, or through negotiated transactions.
February 28, 2024 | 9:55 pm
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NEUTRAL IMPACT
Pinnacle West is conducting a $650 million public offering of its common stock, potentially expanding to $747.5 million with underwriter options. Managed by major financial institutions, this move could affect its stock liquidity and capital structure.
The offering could increase the company's capital, potentially funding future growth or paying down debt, which might be seen positively by investors. However, the dilution of existing shares could put downward pressure on the stock price in the short term. The net impact is uncertain, hence a neutral score.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100