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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of earliest event reported: March 21, 2018
Commission File Number | Exact name of registrant as specified in its charter, address of principal executive offices and registrant's telephone number | IRS Employer Identification Number | ||
001-36518 | NEXTERA ENERGY PARTNERS, LP | 30-0818558 | ||
700 Universe Boulevard Juno Beach, Florida 33408 (561) 694-4000 | ||||
State or other jurisdiction of incorporation or organization: Florida
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
SECTION 1 - REGISTRANT'S BUSINESS AND OPERATIONS
Item 1.01 Entry into a Material Definitive Agreement
On March 22, 2018, NextEra Energy US Partners Holdings, LLC, a subsidiary of NextEra Energy Partners, LP (NEP), entered into two ten-year forward-starting interest rate swap agreements (the forward swaps) beginning March 26, 2028 with a total notional value of $5 billion with Bank of America, N.A. (the forward counterparty). NEP entered into the forward swaps to manage interest rate risk associated with forecasted debt issuances over the next ten years. The forward swaps require mandatory cash settlement on March 26, 2028 based on NEP paying a fixed interest rate of 3.192% per annum for a period of ten years through March 26, 2038 and in return receiving three-month London Inter-bank Offered Rate (LIBOR) for that period. NEP may early terminate all or a portion of the forward swaps at any time prior to March 26, 2028 to hedge interest rates for a period of ten years on debt issuances during that period. The obligations to the forward counterparty are secured by the collateral that secures the loans under an outstanding revolving credit facility dated as of October 24, 2017 on an equivalent and pro rata basis with the principal of such loans and are guaranteed by NextEra Energy Operating Partners, LP and NEP.
The description of the forward swaps set forth above is qualified in its entirety by reference to the schedule to the ISDA 2002 Master Agreement dated as of March 21, 2018 and the trade confirmations each dated as of March 26, 2018, copies of which are filed as Exhibits 10.1 and 10.2 to this Current Report on Form 8-K and incorporated herein by reference.
SECTION 9 - FINANCIAL STATEMENTS AND EXHIBITS
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Date: March 27, 2018
NextEra Energy Partners, LP |
(Registrant) |
TERRELL KIRK CREWS, II |
Terrell Kirk Crews, II Controller and Chief Accounting Officer |
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