AEP slips after launching $2.6 bln share offering

American Electric Power

12/05/2026 21:53

** Electric utility American Electric Power's AEP..O shares down 3% in extended trading to $127.95 on planned equity offering

** Columbus, Ohio-headquartered firm commences $2.6 bln stock offering with forward sale component

** Co enters into 2-year forward sale agreements with bookrunners BofA, Goldman Sachs and Morgan Stanley

** Upon settlement of agreements, AEP plans to use net proceeds for general purposes, including capital contributions to its utility subsidiaries, acquisitions and/or debt repayment

** Prior to the offering, co has ~544.1 mln shares outstanding for $71.8 bln market cap

** AEP last week raised its five-year capital investment plan to $78 bln as data center demand surges

** Its shares edged up 0.9% to close at $131.94 on Tues

** YTD, stock up ~14% and outperforming nearly 6% advance in S&P 500 Utilities sector .SPLRCU

** Avg rating of 25 analysts is "buy"; median PT of $144.50 up from $137 a month ago, LSEG data shows

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))