VECTREN CORPORATION (NYSE:VVC) Files An 8-K Entry into a Material Definitive Agreement

VECTREN CORPORATION (NYSE:VVC) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01. Entry into a Material Definitive Agreement

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Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

On September 14, 2018, Vectren Capital, Corp. (Vectren Capital), a wholly-owned subsidiary of Vectren Corporation (Company),executed a term loan agreement and closed a two-year term loan withBank of America, N.A. The term loan agreement provides for a $50 million draw at closing with the remaining $150 million to be drawn over two installments before March 31, 2019. Proceeds from the term loan will be utilized to payoutstanding short-term borrowings,for acquisitions and for general corporate purposes. The term loan’s interest rate is based upon LIBOR for interest periods selected byVectren Capital, plus a credit spread. In addition, the term loan contains a provision that shouldthe Companyor any of its subsidiaries execute certain capital market transactions, and subject to certain other conditions, the outstanding balance is subject to mandatory prepayment. The term loanis guaranteed bythe Company.

The executed term loan agreement is attached hereto as Exhibit 10.1.

Item 9.01. Exhibits.

To view the full exhibit click here


Vectren Corporation (Vectren) is an energy holding Company. The Company segregates its operations into groups, including the Utility Group, the Nonutility Group, and Corporate and Other. The Company’s subsidiary, Vectren Utility Holdings, Inc. (Utility Holdings or VUHI), serves as the intermediate holding company for three public utilities: Indiana Gas Company, Inc. (Indiana Gas), Southern Indiana Gas and Electric Company (SIGECO) and Vectren Energy Delivery of Ohio, Inc. (VEDO). The Company, through Vectren Enterprises Inc. (Enterprises), is involved in non-utility activities in two primary business areas: Infrastructure Services and Energy Services. Infrastructure Services provides underground pipeline construction and repair services. Energy Services provides energy performance contracting and sustainable infrastructure, such as renewables, distributed generation, and combined heat and power projects.

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