Xcel Energy dips after unveiling $2 bln convertible offering plans
BUZZ-Xcel Energy dips after unveiling $2 bln convertible offering plans ** Shares of electric and natgas utility Xcel Energy XEL.O down 1% to $79 premarket on Mon as it seeks capital raise to reduce debt
** Minneapolis, Minnesota-headquartered XEL offering privately $2 bln convertible bonds due 2027
** It intends to use net offering proceeds to repay short-term borrowings, including a portion of its commercial paper borrowings, and for other general corporate purposes
** XEL has about $51 bln market cap
** Co on Thurs posted Q3 earnings beat; it cited result drivers as electric infrastructure recovery, equity investments and unseasonably warm weather, partially offset by higher financing costs
** At Fri close, XEL stock up 8.1% YTD, outpacing 1.7% advance in S&P 500 Utilities sector .SPLRCU
** Avg rating of 21 analysts is "buy"; median PT of $92 unchanged over the past three months, per LSEG
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))