WEC Energy Group has agreed to sell two $1bn series of junior subordinated notes, both due in 2057. The Series 2026A notes carry a coupon of 6.750% and the Series 2026B notes 6.950%. Junior subordinated means they rank behind the company's other debt. Both series are fixed-to-fixed reset notes, so the rate is fixed for an initial period and then reset. The underwriting agreement is dated November 2, and the notes are issued under a registration statement already on file.

The sale comes days after WEC raised its 2026 earnings guidance on October 29, to $5.60 to $5.64 a share from $5.51 to $5.61. Third-quarter earnings of $1.18 a share beat expectations by $0.20. A utility that sells long-dated paper straight after raising its outlook looks like one locking in funding while sentiment is good.

The structure also helps the balance sheet. Rating agencies typically give junior subordinated notes partial equity credit. That lets a utility raise large sums without diluting shareholders or straining its debt metrics as much as senior debt would. The price is the coupon. WEC is paying 6.750% and 6.950% to term out this capital, with its earnings guidance freshly raised.

The notes settle on or about November 4, and interest accrues from that date.

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