# California Water Service Group to Raise $275 Million in Debt Offering

- URL: https://stocks.freetheai.org/news/california-water-service-group-to-raise-275-million-in-debt-offering-70c499
- Published: 2026-10-15T16:43:00Z
- Category: company_news; sentiment: neutral; impact: medium
- Symbols: [NYSE:CWT](https://stocks.freetheai.org/symbols/NYSE-CWT)
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California Water Service Group (CWT) has reached an agreement to issue $275 million in new long-term debt through a combination of senior unsecured notes and first mortgage bonds. The transaction includes $125 million in unsecured notes and $150 million in mortgage bonds. Shares of the utility rose 0.92% to $46.24 following the announcement.

The financing arrangement allows the utility to restructure its existing debt obligations while securing additional capital for ongoing operational needs. Net proceeds from the offering will be directed toward paying off existing indebtedness and funding general corporate activities. The mortgage bonds will be backed by first mortgage liens on company property.

The company expects to complete the issuance of the debt instruments on or before December 31, 2026. Semi-annual interest payments to debt holders are scheduled to begin on June 15, 2027, with final maturities ranging from 2031 out to 2056 across the four individual tranches.

## Key points

- California Water Service Group agreed to issue $125 million in senior unsecured notes and $150 million in first mortgage bonds.
- The debt offering consists of four tranches with fixed interest rates between 6.08% and 6.54% and maturity dates from 2031 to 2056.
- Proceeds will be used to refinance existing debt and support general corporate purposes.
- The debt issuance is expected to close on or before December 31, 2026, with semi-annual interest payments starting June 15, 2027.

## Questions and answers

### How much debt is California Water Service Group issuing?

California Water Service Group is issuing $275 million in total debt, consisting of $125 million in senior unsecured notes and $150 million in first mortgage bonds.

### How will California Water Service Group use the debt proceeds?

The company plans to use the net proceeds to refinance existing debt and for general corporate purposes.

### When will the new debt be issued and mature?

The notes and bonds are expected to be issued on or before December 31, 2026, with maturity dates spanning from 2031 to 2056.