Fitch ratings has assigned a BBB+ rating and a stable outlook to $450 million in senior notes to be offered by Northeast Utilities, which will use the proceeds to refinance debt.
Fitch said all five of NU’s subsidiary companies have stable or improving finances, and it noted that Connecticut Light & Power’s recently approved distribution rate increase, which followed the expiration of a rate freeze.
Fitch said it doesn’t anticipate increasing its NU rating in the near term because of rate freezes on its Massachusetts subsidiaries through the end of the year.
NU is issuing the senior notes in two tranches, due in 2018 and 2025, respectively. It plans to use the proceeds to repay a portion of $1.05 billion in existing debt.
NU announced recently that it will change its name to Eversource Energy.
