Hawaiian Electric Industries, Inc. (NYSE:HE) shares are trading lower on Thursday. Hawaiian Electric entered into an Equity Distribution Agreement to issue common shares of up to $250 million.
The company is issuing shares through several agents Wells Fargo Securities, LLC, Barclays Capital Inc., and Guggenheim Securities, LLC. via an “at the market offering.”
The agents will follow the company’s instructions and receive up to 1% commission on gross sales proceeds, with customary indemnification provided.
Last month, Hawaiian Electric and its subsidiary reached an agreement in principle to settle tort-related claims from the Maui windstorm and wildfires litigation for $1.91 billion.
This amount, reduced by a $75 million credit, will be paid in four annual installments starting in mid-2025.
The settlement is pending final documentation and court approval.
HEI previously accrued a $1.71 billion loss for these liabilities, which may be adjusted as the settlement process evolves.
Apart from this, Hawaiian Electric and PAR Hawaii Refining extended their Petroleum Fuels Supply Agreement through January 31, 2029, with automatic one-year renewals unless terminated with 120 days’ notice.
Price Action: HE shares are trading lower by 10.1% at $10.84 at the last check Thursday.
Image via Shutterstock
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
