The Nebraska Public Power District plans to issue approximately $120 million of fixed-rate, tax-exempt bonds, and approximately $60 million of fixed-rate, taxable bonds on Tuesday, October 18. The bond sale will include an order period for retail and institutional investors.
Proceeds from the tax-exempt bond sale will be used to finance the costs of generation and transmission capital additions to NPPD’s system, and to refund a portion of Commercial Paper Notes. Proceeds from the taxable bond sale will be used to fund a portion of NPPD’s liability associated with its other postemployment benefits. Bond proceeds will also be used to pay financing costs.
It is currently anticipated that the bonds will be issued in $5,000 denominations or any integral multiple thereof.
NPPD has selected Morgan Stanley as its senior bond underwriter. Other underwriting firms include Bank of America/Merrill Lynch, Goldman, Sachs & Co., Wells Fargo Bank, National Association, Ameritas Investment Corp., D.A. Davidson & Co., Piper Jaffray & Co., RBC Capital Markets, and US Bancorp.
The tax-exempt bonds will be repaid over a 30-year period, and the taxable bonds will be repaid over an 18-year period. Individuals interested in purchasing the bonds should contact their broker or financial advisor.