NEW YORK – Consolidated Edison, Inc. (NYSE: NYSE:), a leading energy-delivery company with a market capitalization of $33.94 billion, announced a public offering of 7 million of its common shares today. According to InvestingPro data, the company maintains a strong dividend track record, having raised its dividend for 50 consecutive years, with a current yield of 3.37%. The offering is part of a forward sale agreement, under which the shares will initially be borrowed and sold to J.P. Morgan Securities LLC, the underwriting firm for the transaction.
The forward sale agreement allows for Con Edison to issue and deliver the shares to J.P. Morgan or its affiliate, known as the forward counterparty, at a later date. The cash proceeds from the forward price per share will be used by Con Edison for investment into its subsidiaries to support their capital needs and for other general corporate purposes.
Con Edison has the option to physically settle the forward sale agreement by December 31, 2025, but it may choose to settle earlier or opt for cash or net share settlement under certain conditions. The company will not receive any proceeds from the initial sale of shares by the forward counterparty to the underwriter.
In the event that the forward counterparty cannot borrow and deliver the shares for sale, or if the cost of borrowing the shares exceeds a specified rate, Con Edison will directly issue and sell the needed number of shares, referred to as “top-up shares,” to J.P. Morgan.
The offering is made through Con Edison’s shelf registration statement filed with the Securities and Exchange Commission (SEC). Prospective investors can access the preliminary prospectus supplement and the base prospectus on the SEC’s website. For deeper insights into Con Edison’s financial health, which InvestingPro rates as GOOD with an overall score of 2.57, investors can access the comprehensive Pro Research Report, available among 1,400+ detailed company analyses.
This press release includes forward-looking statements, which are based on current expectations and assumptions. These statements are subject to various risks and uncertainties, and actual results may differ materially. Factors that could cause such differences are detailed in reports filed by Con Edison with the SEC.
Con Edison is one of the nation’s largest investor-owned energy-delivery companies, providing a range of energy-related products and services through its subsidiaries, including Consolidated Edison…
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