Avangrid, Inc.: debt financing — Avangrid secures $800M green loan at 5.453% from Iberdrola unit and $750M revolver

On July 19, 2023, Avangrid, Inc. (the “Corporation”) entered into an intra-group green loan agreement with Iberdrola Financiación, S.A.U., a wholly-owned subsidiary of Iberdrola, S.A. (the “Lender”), which owns 81.5% of the issued and outstanding shares of common stock of the Corporation (the “Intra-Group Green Loan Agreement”). The Intra-Group Green Loan Agreement provides the Corporation with an unsecured subordinated loan in an aggregate principal amount of $800,000,000 (the “Loan”).

On July 19, 2023, the Corporation entered into an intra-group credit facility with the Lender (the “Intra-Group Credit Facility”). The Intra-Group Credit Facility provides for revolving loans to be made available to the Corporation in the aggregate principal amount of up to $750 million and contains customary representations and warranties and events of default.

On July 17, 2023, Avangrid, Inc. (the “Corporation”), New York State Electric & Gas Corporation (“NYSEG”), Rochester Gas and Electric Corporation (“RGE”), Central Maine Power Company (“CMP”), The United Illuminating Company (“UI”), Connecticut Natural Gas Corporation (“CNG”), The Southern Connecticut Gas Company (“SCG”) and The Berkshire Gas Company (“BGC” and together with the Corporation, NYSEG, RGE, CMP, UI and CNG, the “Borrowers”) entered into Amendment No. 2 to the Revolving Credit Agreement, dated November 23, 2021, among the Borrowers and a syndicate of banks, which amended and restated the facility to, among other things, provide for the replacement of LIBOR-based rates with SOFR-based rates (as amended, the “Revolving Credit Facility”).

On July 19, 2023, the Corporation entered into an intra-group credit facility with the Lender (the “Intra-Group Credit Facility”).

On July 19, 2023, the Corporation and the Lender entered into an additional side letter agreement, which provides for the replacement of LIBOR-based rates with SOFR-based rates for drawings made pursuant to the Funding Commitment Letter.

On July 19, 2023, Avangrid, Inc. (the “Corporation”) entered into an intra-group green loan agreement with Iberdrola Financiación, S.A.U., a wholly-owned subsidiary of Iberdrola, S.A. (the “Lender”), which owns 81.5% of the issued and outstanding shares of common stock of the Corporation (the “Intra-Group Green Loan Agreement”).