PPL Corporation has announced a public offering of 20 million equity units priced at $50 each, totaling $1 billion. The offering includes an option for an additional 3 million units, or $150 million, for over‑allotments. Each unit contains a contract to purchase PPL common stock in the future and two 1/40 undivided beneficial ownership interests in PPL Capital Funding, Inc.’s remarketable senior notes, each with a principal amount of $1,000.
The joint book‑running managers for the transaction are J.P. Morgan Securities, BofA Securities, Morgan Stanley & Co. LLC and RBC Capital Markets. PPL intends to list the units on the New York Stock Exchange within 30 days of issuance.
Net proceeds from the offering will be used to repay short‑term debt and for general corporate purposes, providing additional capital flexibility to support the company’s expanded $23 billion capital investment plan for 2026‑2029. The plan, which has been increased by $3 billion from the prior $20 billion target, is designed to upgrade transmission and distribution infrastructure and meet the growing power demands of data centers and new manufacturing facilities in Pennsylvania, Kentucky and Rhode Island.
PPL’s most recent quarterly results provide context for the offering. In Q4 2025 the company reported ongoing earnings of $0.41 per share, up from $0.34 in the prior‑year quarter, and guided for FY 2026 EPS of $1.90‑$1.98, in line with the $1.95 consensus estimate. Operating margin stood at 22.61% and net margin at 12.16%, while the company projects a 10.3% compound annual growth rate in rate base through 2029. CEO Vincent Sorgi emphasized the company’s commitment to meeting data‑center demand without raising costs for other customers, noting that “In short, this is an exciting and crucial time in our country and industry as we work to meet the significant power demands from data centers and new manufacturing in a manner that does not increase costs to our other customers.” He also highlighted that “In 2025, we achieved our targeted earnings per share and dividend growth, completed $4.4 billion in infrastructure investments to improve service to our customers and exceeded our targeted annual O&M savings to help keep energy affordable.”
The equity units offering is part of PPL’s broader strategy to maintain financial flexibility while pursuing aggressive infrastructure upgrades. The company’s focus on data‑center demand and smart‑grid technology positions it to capture growth in the electric utility sector, while the capital raise provides the necessary liquidity to fund the expanded investment plan without relying on additional debt. Investors are watching the dilution impact, but the long‑term benefits of the infrastructure expansion are expected to outweigh short‑term capital structure changes.
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