Williams Companies priced a $2.75 billion senior unsecured notes offering on January 5, 2026, with the announcement released the following day. The notes carry a fixed coupon and are scheduled to mature in 2033, 2036, and 2056, providing the company with a long‑term, low‑cost source of capital.
The proceeds will be used to repay $1.1 billion of 5.400% senior notes due 2026, fund pipeline and power‑innovation projects—including the Socrates Power Innovation initiative—and refinance existing debt. This mix of repayment and investment supports Williams’ strategy of maintaining a strong balance sheet while advancing key infrastructure projects.
Williams’ investment‑grade credit profile remains solid, with a BBB+ rating from S&P and a BBB+ issue‑level rating for the new notes. The company’s leverage ratio was 4.2× at the end of fiscal 2024 and is projected to decline to 4.0× in 2025, underscoring the financing’s role in sustaining low leverage and credit quality.
CEO Alan Armstrong emphasized that the company is focused on delivering long‑term value by leveraging its natural‑gas infrastructure to support the energy transition. He highlighted continued investment in LNG exports and power‑innovation projects as part of the company’s growth strategy.
In Q3 2025, Williams reported adjusted EBITDA of $1.92 billion, up 13% year‑over‑year from $1.68 billion in Q3 2024. The new notes will help finance projects such as the Socrates Power Innovation plant, expected to be completed in the second half of 2026, and support ongoing pipeline expansion.
The offering aligns with Williams’ disciplined capital‑allocation approach, enabling continued investment in pipeline and power generation while preserving a low leverage profile and maintaining an investment‑grade credit rating. This positions the company to capitalize on growing demand for natural gas and power‑innovation solutions without diluting equity.
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