Given that legislative amendments related to Bahamas Power and Light’s (BPL) rate reduction bond (RRB) will need to be ratified by Parliament before BPL can place the bond, it could miss its end of January placement target, BPL Chairman Dr. Donovan Moxey said yesterday.
Moxey explained that BPL will now attempt to place its bond by early February, if all goes well.
The COVID-19 pandemic was the biggest wrench thrown into BPL’s spokes with regard to raising more than $530 million in the international markets via the RRB.
“The important step is getting through the final legislative changes and so we certainly will have to make sure and wait until the Parliament has completed those amendments. We’re working with them to make sure everything moves through as quickly as possible,” said Moxey.
“Obviously we had a target date of the end of January. We’re still working toward that, but given what circumstances are now, there’s a chance it will slip into early February. But we’re pushing to get this bond closed as soon as possible.”
BPL is depending on the proceeds of the bond to develop Station D at the Clifton Pier Power Station, which will expand the base load capacity at the plant.
While BPL has stated that Station D will be built with or without the money from the bond, Moxey said the funding is allocated as part of the bond’s use of proceeds.
“So, yes, that’s something we’re waiting on,” he said.
“The bond its really what’s been put in place for that, so that’s where our focus is.”
The post BPL bond could miss end of January placement target appeared first on The Nassau Guardian.
source https://thenassauguardian.com/bpl-bond-could-miss-end-of-january-placement-target/
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