UGI Utilities Partners with Pennsylvania Community Banks
01 Nov 2017
Reading, PA – UGI Utilities, Inc. announced today that it is partnering with local banks to finance the company’s capital needs while promoting regional economic development.
A syndicate of 13 banks with significant operations in the company’s service territory will provide UGI Utilities, Inc., a subsidiary of UGI Corporation (NYSE: UGI), with a $125 million senior unsecured credit facility led by PNC Capital Markets LLC. The funds will be used for general corporate needs, including upgrades to the company’s utility distribution system that will enhance its ability to continue providing safe and reliable natural gas service.
“UGI is very pleased to create this partnership with a number of locally-based community banks,” Daniel Platt, Chief Financial Officer for UGI Utilities, Inc., said. “UGI is committed to the growth and economic vitality of the communities we serve. This agreement allows UGI to invest in our service area by partnering with banks operating in our region.”
This financing diversifies UGI’s portfolio of financial firms with which it works and provides local institutions with the opportunity to handle a portion of UGI’s capital investments.
The syndicate includes:
PNC Bank, National Association
Citizens Bank of Pennsylvania
The Bank of New York Mellon
Branch Banking and Trust Company
First National Bank of Pennsylvania
The Bryn Mawr Trust Company
First Keystone Community Bank
Mid Penn Bank
Mauch Chunk Trust Company
Penn Community Bank
ESSA Bank & Trust
CSFD Group LLC acted as financial advisor to UGI Utilities, Inc. in connection with this transaction.
UGI replaces approximately 64 miles of non-contemporary natural gas mains each year, in addition to completing a variety of system enhancement projects. In addition, over the past five years, UGI has added approximately 15,000 new customers annually through growth initiatives and gas main extension projects.
About UGI Utilities, Inc.
UGI Utilities, Inc. is a wholly owned subsidiary of UGI Corporation (NYSE:UGI). UGI Utilities, Inc. has headquarters in Reading, Pennsylvania and serves 690,000 customers in 46 Pennsylvania counties and one county in Maryland. Customers interested in additional information should visit the UGI website at www.ugi.com; on Facebook at www.facebook.com/ugiutilities; Twitter at www.twitter.com/ugi_utilities.