Origin Energy to Sell $1.8 Billion in Shares to Reduce Debt
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Origin Energy Ltd. will sell A$2.5 billion ($1.8 billion) in shares at a 34 percent discount as part of an effort to improve its balance sheet and maintain its investment-grade rating after a plunge in oil prices.
Origin, preparing to start its A$24.7 billion gas-export project with ConocoPhillips on Australia’s east coast, also plans to sell as much as A$800 million in assets, reduce its dividend and cut spending, the Sydney-based utility said Wednesday. Origin expects the measures to lower net debt to below A$9 billion.