PG&E Corp. (Pacific Gas and Electric Company), the San Francisco, CA-based American utility company, said in a statement earlier this week that the California-based utility company had been brewing off a plan to raise as much as $5.75 billion from public offerings aimed at emerging from a Chapter 11 Bankruptcy by end-June, which the company had filed in January this year in light of an at least $32 billion in claims and liabilities stemmed off two wildfires back in the 2017s and 2018s.
Aside from that, the San Francisco-based utility company also added in its statement that potential investors such as Appaloosa and Third Point, had already agreed to a purchase of PG&E stocks worth of $3.25 billion once the company emerged from the bankruptcy.
On top of that, a spokesman for PG&E was quoted saying in a statement that up to $1.25 billion worth of PG&E common stocks would be reserved for the large stakeholders, while up to 25 per cent of the planned $5.75 billion worth of stock sales would be allotted to the individual investors.
In point of fact, latest announcement from the California-based company came against the heels of a media report published last week saying that the PG&E Corp. had been looking to a $11 billion debt-financing package to emerge from the Chapter 11 bankruptcy.
PG&E to place stocks at a maximum price of $10.50 a share
Meanwhile, as the Californian power and utility company requires to exit bankruptcy by end-June in order to stretch its arms towards a state-backed wildfire fund that might just assist in PG&E Corp.’s cause to reduce threats from wildfire-related liabilities, the company said in a Monday statement that its private placement of stocks would be tagged at a maximum price of $10.50 a share, which happens to be a discount of 16 per cent to PG&E Corp. stocks’ Friday’s market closure.