Hawaiian Electric slides on $500 mln stock offering for Maui wildfire settlement
** Shares of Hawaiian Electric Industries HE.N down 12.4% premarket to $9.55, over 2-mth low, after co raises equity to fund part of Maui wildfire settlement
** Parent co of utility Hawaiian Electric late Mon sold ~54.1 mln shares at $9.25 for $500 mln gross proceeds
** Offering price represents 15.1% discount to stock's last sale
** Wells Fargo and Barclays joint lead bookrunners, along with Guggenheim
** HE has 110.3 mln shares outstanding for ~$1.2 bln market cap
** Last week, co filed up to $250 mln "at-the-market" (ATM) equity sales program for various uses
** In Aug, HE raised going concern doubts after disclosing it didn't have financing plan for a more than $4 bln settlement to compensate victims of the 2023 Maui wildfires, which claimed over 100 lives
** Through Mon, shares have lost 23% YTD
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
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