Alliant Energy Closes $5.1B DOE Loan Package, Projects $1.2B Customer Savings
LNT is trading near its 52-week low of $62.54 (11% above the low).
Summary
Alliant Energy closed on a $5.1 billion, 30-year lower-interest loan package from the DOE's Office of Energy Dominance Financing. The company projects up to $1.2 billion in cumulative customer savings over the life of the loans and more than 1,600 local construction jobs. The capital backs an all-of-the-above buildout: 1.6 GW of new natural gas generation, 240 MW of uprates at existing gas plants, 1 GW of energy storage and 2 BCF of LNG storage. This is meaningful for a regulated utility of this size — it lowers the cost of a large generation build and reduces pressure to fund it with equity, which matters given the $1 billion ATM program launched with Q2 results and the $500M IPL debentures priced in August. Access is conditional on project advancement, qualification and financing terms, and every project still needs regulatory approval.
At the time of this announcement, LNT was trading at $69.40 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $18.2B. The 52-week trading range was $62.54 to $78.81. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: BusinessWire.