PPL Capital Funding $1.15 billion exchangeable senior notes offering

Davis Polk advised PPL Capital Funding, Inc. on its unregistered offering of $1.15 billion aggregate principal amount of 3.000% exchangeable senior notes due 2030, fully and unconditionally guaranteed by PPL Corporation, which included $150 million principal amount of notes pursuant to the exercise in full of the initial purchasers’ option to purchase additional notes. PPL Capital Funding, Inc. and PPL Corporation expect to use the net proceeds from the sale of the notes to repay short-term debt and for general corporate purposes.

PPL, headquartered in Allentown, Pennsylvania, is a leading U.S. energy company focused on providing electricity and natural gas safely, reliably and affordably to more than 3.5 million customers in the United States. PPL’s high-performing, award-winning utilities are addressing energy challenges head-on by building smarter, more resilient and more dynamic power grids and advancing sustainable energy solutions.

The Davis Polk corporate team included partner Michael Kaplan and associates Kanger Jin, Fei Deng and Jean (Jean Young) Koo. The equity derivatives team included partners Caitlin L. Wood and Mark M. Mendez and associate Richard Stockton Bullitt. Counsel Matthew R. Silver provided 1940 Act advice. Partner Lucy W. Farr and counsel Yixuan Long provided tax advice. All members of the Davis Polk team are based in the New York office.