Consolidated Edison, Inc. announced a public offering of 7,000,000 of its common shares. The company expects to use the cash proceeds from the full physical settlement of a forward sale agreement to invest in its subsidiaries for capital requirements and for other general corporate purposes. This financing move aims to support the company's ongoing infrastructure investments and strategic initiatives.
The forward counterparty has agreed to borrow and sell these shares to J.P. Morgan Securities LLC, which is acting as the underwriter for the offering. Con Edison will not receive any proceeds from the initial sale of shares by the forward counterparty to the underwriter. The physical settlement of the forward sale agreement is expected to occur by December 31, 2025, though it may be settled earlier at Con Edison's option under certain conditions.
This offering is being made pursuant to Con Edison's effective shelf registration statement filed with the Securities and Exchange Commission. The issuance of new common shares could lead to dilution for existing shareholders, but it provides essential capital for the company's significant capital expenditure program, particularly in grid modernization and clean energy infrastructure.
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