H2O America Raises $588.9M Through 11.48M Share Offering at $53
H2O America priced an 11.48 million share offering at $53 per share, boosting net proceeds to $588.9 million (or $677.2 million with full option exercise). Proceeds will fund the Quadvest Acquisition, cover related fees and debt financing, and support general corporate purposes including potential share repurchases.
1. Offering Details
H2O America has priced an underwritten public offering of 11,484,824 common shares at $53.00 per share, reflecting an approximate $58.7 million increase over the previously announced size. The company granted underwriters a 30-day option to purchase up to 1,722,723 additional shares on the same terms.
2. Forward Sale Agreements
The company entered into forward sale agreements with JPMorgan Chase Bank and Wells Fargo Bank as forward counterparties, committing to issue an aggregate of 7,547,170 shares at the offering price upon physical settlement. Settlement may occur in cash or net shares at the company’s discretion on or before March 2, 2028.
3. Use of Proceeds
Net proceeds are projected at $588.9 million, or $677.2 million if the underwriter option is fully exercised. Funds will finance the Quadvest Acquisition and related fees, complement debt financing, and support general corporate purposes including acquisitions, capital expenditures, share repurchases and debt repayment.