(RTTNews) - NextEra Energy, Inc. (NEE) announced Tuesday the settlement rate for the stock purchase contracts that are components of corporate units (NEE PRO) that it issued in September 2019. Holders of the corporate units will receive 0.7212 shares of NextEra Energy common stock for each stock purchase contract that they hold, with cash to be paid in lieu of any fractional shares.
The settlement rate is based upon the average of the closing price per share of NextEra Energy common stock on the New York Stock Exchange for the 20 consecutive trading days ending on August 29, 2022.
Consequently, on Sept. 1, 2022, each holder of the corporate units on that date will, following payment of $50.00 for each unit which it holds, receive 0.7212 shares of NextEra Energy common stock for each such unit.
The holders' obligations to make such payments will be satisfied with proceeds generated by the successful remarketing on Aug. 5, 2022, of the NextEra Energy Capital Holdings, Inc. debentures that formerly constituted a component of the corporate units.
Upon settlement of all outstanding stock purchase contracts, NextEra Energy will receive $1.5 billion in exchange for approximately 21.64 million shares of common stock.
On Sept. 1, 2022, each corporate unit holder of record on Aug. 31, 2022, will receive the final quarterly cash distribution of $0.609 payable per corporate unit. In addition, holders of corporate units as of Sept. 1, 2022, will receive the remaining amounts from the remarketing.
