Southern Co dips after unveiling $1.75 bln equity units offering plans

Shares of utility Southern Company SO.N down 1% premarket to $93.10 as it looks to raise capital to refinance debt

Atlanta, Georgia-based SO says it plans to sell 35 mln equity units at $50 for $1.75 bln in public offering

Each unit comprises a contract to purchase SO common stock in the future and two 1/40 undivided beneficial ownership interests in remarketable senior notes

SO intends to use portion of net offering proceeds to repurchase a portion of its 3.875% convertible notes due Dec 15, 2025 and 4.5% convertible notes due Jun 15, 2027

Remainder of proceeds to be used to repay debt, for general purposes, including investments in subsidiaries

BofA, JP Morgan and Mizuho are joint bookrunners

SO has ~$103.5 bln market cap

Co early Thurs posted Q3 profit beat, aided by surging demand for electricity from businesses

Stock on Fri closed down 1.1% at $94.04. YTD, stock up ~14% vs S&P 500 Utilities sector's .SPLRCU 17.5% advance

Avg rating among 24 analysts is "hold" and median PT is $102.25, per LSEG data