This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Dominion Announces Pricing Of Equity Units

Stocks in this article: D

RICHMOND, Va., June 26, 2014 /PRNewswire/ -- Dominion (NYSE: D) announced today that it has priced its offering of 18 million 2014 Series A equity units. Each 2014 Series A equity unit will be issued in a stated amount of $50 ( $900 million aggregate stated amount) and will consist of a contract to purchase common stock in the future and a 1/20 undivided beneficial ownership interest in Dominion's 2014 Series A remarketable subordinated notes due 2020 having a principal amount of $1,000. The remarketable subordinated notes are subject to remarketing to commence no earlier than March 30, 2017. The offering is expected to close on July 1, 2014, subject to customary closing conditions.

Total annual distribution on the 2014 Series A equity units will be at the rate of 6.375 percent, consisting of interest on the 2014 Series A remarketable subordinated notes at a rate of 1.50 percent and payments under the related stock purchase contracts at a rate of 4.875 percent.  The reference price for the 2014 Series A equity units is $69.76 per share. The threshold appreciation price for the 2014 Series A equity units is $87.20 per share, which represents a premium of approximately 25.0 percent over the reference price.  Under the purchase contract, holders are required to purchase a variable number of shares of Dominion common stock no later than July 1, 2017.

Dominion has granted the underwriters an option to purchase during the 13-day period beginning on, and including, the initial issuance date of the 2014 Series A equity units up to 2 million additional 2014 Series A equity units, or an additional aggregate stated amount of $100 million.

Dominion intends to use the net proceeds from this offering, which are expected to be $883.8 million in the aggregate or $982.0 million in the aggregate if the over-allotment option is exercised in full (in each case, after deducting underwriting discounts and commissions but before deducting other offering expenses), for general corporate purposes and to fund its growth plan, including the Cove Point liquefaction project.

Morgan Stanley & Co. LLC, Wells Fargo Securities, LLC, Deutsche Bank Securities Inc., RBC Capital Markets, LLC, BNP Paribas Securities Corp. and Goldman, Sachs & Co. are acting as joint book-running managers for the offering.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs