DBRS Rates Capital Power Corporation’s $150 Million Preferred Share Issue at Pfd-3 (low), Stable Trend

DBRS Limited (DBRS) has today assigned a rating of Pfd-3 (low) with a Stable trend to the $150 million of Cumulative Minimum Rate Reset Preference Shares, Series 9 (Series 9 Preference) issued by Capital Power Corporation (Capital Power). The offering of the Preferred Shares settled on August 9, 2017.

The Series 9 Preference rank on parity with the Issuer’s currently outstanding preference shares and in priority to common shares as to the payment of dividends and the distribution of assets on dissolution, liquidation or winding up. DBRS understands that the net proceeds of the sale of the Series 9 Preference will be used to reduce the Issuer’s indebtedness under its credit facilities.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The applicable methodologies are Rating Companies in the Independent Power Producer Industry, Rating Holding Companies and Their Subsidiaries, and Preferred Share and Hybrid Criteria for Corporate Issuers, which can be found on our website under Methodologies.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.