Santee Cooper’s Board of Directors approved the sale of $52.4 million in revenue obligation bonds during a special meeting Friday at the electric utility’s headquarters in Moncks Corner.
The 2016C bond sale involves tax-exempt bonds with maturities from 2022 to 2036 and an interest rate of 3,108 percent, according to a news release. The proceeds will be used to refund and restructure existing debt.
The issue received ratings of AA- from Standard & Poor’s, A1 from Moody’s and A+ from Fitch. The three agencies also reaffirmed existing ratings and a stable outlook for Santee Cooper’s long-term debt.
Friday’s action follows Santee Cooper’s sale of two long-term bond issues last month, totaling $831 million. Proceeds from those sales primarily will be used to finance construction of two reactors at the V.C. Summer nuclear plant in Jenkinsville. Santee Cooper is a partner with South Carolina Electric & Gas in the nuclear project.
State-owned Santee Cooper is South Carolina’s largest power producer and the ultimate source of electricity for 2 million people statewide.
Reach David Wren at 843-937-5550 or on Twitter at @David_Wren_