CenterPoint Energy closes concurrent upsized public offerings of $2.8 billion in net proceeds

HOUSTON, Oct. 1, 2018 – — CenterPoint Energy, Inc. (NYSE: CNP) today announced it has closed its concurrent underwritten public offerings of approximately 69,633,027 shares of common stock at a price of $27.25 per share and 19,550,000 depositary shares, each representing a 1/20th interest in a share of its 7.00% Series B Mandatory Convertible Preferred Stock (Series B Preferred Stock), at a price of $50 per depositary share. The amounts sold include 9,082,568 shares of common stock and 2,550,000 depositary shares issued pursuant to the exercise in full of the options granted to the underwriters in each of the respective offerings to purchase additional shares of common stock and depositary shares, respectively.

CenterPoint Energy intends to use the net proceeds from the common stock and depositary share offerings of approximately $1.85 billion and $0.95 billion, respectively, in each case after deducting issuance costs and discounts for the respective offerings, to finance a portion of the cash consideration payable by CenterPoint Energy in connection with its pending merger with Vectren Corporation (Vectren Merger), as well as a portion of the related fees and expenses. If for any reason the Vectren Merger is not completed, CenterPoint Energy expects to use the net proceeds from these offerings for general corporate purposes, which may include, at its sole discretion, exercising its option to redeem the Series B Preferred Stock and the corresponding depositary shares for cash, debt repayment, including repayment of commercial paper, capital expenditures, investments and repurchases of its common stock at the discretion of its board of directors.

Each depositary share entitles the holder of such depositary share, through the depository, to a proportional fractional interest in the rights and preferences of the Series B Preferred Stock, including conversion, dividend, liquidation and voting rights, subject to the terms of the deposit agreement.

The depositary shares have been authorized for listing, upon official notice of issuance, on the New York Stock Exchange under the symbol CNPPRB. CenterPoint Energy’s common stock is listed on the New York Stock Exchange and the Chicago Stock Exchange under the symbol CNP.

Joint book-running managers and representatives of the underwriters of the concurrent offerings were Morgan Stanley, Goldman Sachs & Co. LLC, Citigroup and Wells Fargo Securities.

Additional joint book-running managers of the concurrent offerings were Barclays, Credit Suisse, Deutsche Bank Securities and J.P. Morgan.

Senior co-managers of the concurrent offerings were Mizuho Securities, MUFG and RBC Capital Markets.

Co-managers of the concurrent offerings were BNY Mellon Capital Markets, LLC, BTIG (common stock offering only), Comerica Securities, Evercore ISI, PNC Capital Markets LLC, R. Seelaus & Co., Inc. (a diversity and inclusion firm (D&I)), Ramirez and Co., Inc., (D&I), Regions Securities LLC, TD Securities, The Williams Capital Group, L.P. (D&I), Wolfe Capital Markets and Advisory, and US Bancorp (depositary share offering only).

Each offering was made pursuant to CenterPoint Energy’s effective shelf registration statement on Form S-3, as amended, previously filed with the Securities and Exchange Commission (SEC).

Each offering was made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended. Copies of the prospectus supplement and accompanying base prospectus meeting such requirements related to each offering may be obtained free of charge from the SEC’s website at or from:

Morgan Stanley & Co. LLC

Attention: Prospectus Department

180 Varick St. 2nd Fl.

New York, New York 10014

Goldman Sachs & Co. LLC

Attention: Prospectus Department

200 West Street

New York, New York 10282

Telephone: 1-866-471-2526



c/o Broadridge Financial Solutions

1155 Long Island Avenue

Edgewood, New York 11717

Telephone: 1-800-831-9146

Wells Fargo Securities, LLC

Attention: Equity Syndicate Department

375 Park Avenue

New York, New York 10152

Telephone:  1-800-326-5897


This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns 54.0 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership it jointly controls with OGE Energy Corp. Enable Midstream Partners, LP owns, operates and develops natural gas and crude oil infrastructure assets. With more than 8,000 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years.

This press release includes forward-looking statements that are not historical facts. Actual events and results may differ materially from those projected. Forward-looking statements in this press release include, but are not limited to, the use of proceeds from the proposed offerings, the anticipated conversion date of the Series B Preferred Stock and the Vectren Merger.  Factors that could affect the company’s ability to complete the proposed offerings include, but are not limited to, general market conditions, investor acceptance of the proposed offerings, the satisfaction of the conditions to the proposed offerings discussed in the prospectus supplements and accompanying base prospectuses and other factors discussed in CenterPoint Energy’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, CenterPoint Energy’s Quarterly Reports on Form 10-Q for the quarters ended March 31, 2018, and June 30, 2018, and CenterPoint Energy’s other SEC filings.

Factors that could affect the company’s ability to complete the Vectren Merger include, but are not limited to, the satisfaction of the conditions to the Vectren Merger discussed in the prospectus supplement and accompanying base prospectus and other factors discussed in the company’s SEC filings.

For more information contact
Leticia Lowe

Phone   713.207.7702
David Mordy
Phone   713.207.6500

SOURCE CenterPoint Energy, Inc.

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