Algonquin Power & Utilities Corp. Announces Pricing of $650 Million of Senior Unsecured Notes due 2031 and $500 Million of Senior Unsecured Notes due 2036

Financing Execution and Debt Refinancing

• Algonquin Power & Utilities Corp. (AQN) priced a $1.15 billion offering of senior unsecured notes on May 12, 2026.
• The offering consists of $650 million due in 2031 at 5.100% and $500 million due in 2036 at 5.650%.
• Proceeds are designated to repay intercompany loans between Liberty Utilities and AQN, and to refinance outstanding 5.365% notes due June 2026.
• This follows the Q1 2026 earnings release (May 8) where a $1.15 billion syndicated delayed draw term facility was closed for this specific purpose.

Debt Maturity Risk Mitigation

• The primary materiality of this news is the removal of near-term maturity risk associated with the $1.15 billion senior notes due June 2026.
• By refinancing into 2031 and 2036 maturities, AQN extends its debt profile significantly, reducing liquidity pressure for the next decade.
• The interest rates (5.1% - 5.65%) are consistent with current utility credit spreads but higher than historical lows, reflecting the prevailing rate environment.

Business Model

• Algonquin Power & Utilities Corp. operates as a regulated utility holding company with interests in electric, gas, water, and renewable energy assets.
• The company is transitioning toward a "pure-play utility" focus following the sale of its renewable-energy business (excluding hydro) and stake in Atlantica Sustainable Infrastructure.