Sale of a 19.9% Ownership Interest in NIPSCO slide image

Sale of a 19.9% Ownership Interest in NIPSCO

EXCEPTIONAL OUTCOME ACHIEVES ALL OF NISOURCE'S OBJECTIVES Transaction Objectives Strengthen balance sheet and financial flexibility Raise capital at highly attractive, premium valuation Reduce reliance on capital markets and minimize equity needs Retain NiSource's benefits of scale and regulatory diversification Preserve NIPSCO's access to NiSource's shared service model ■ Supports capital investment execution and energy transition Introduce a stakeholder to support economic development in Indiana Highlight the value of NIPSCO embedded within NiSource Objectives Accomplished We exist to deliver safe, reliable energy that drives value to our customers NiSource | NYSE: NI| nisource.com | om 14-16% FFO/debt $2.40B equity raise at a 77% premium to NiSource's P/E Significantly reduces NiSource's equity needs 4M customer platform across six states supports the shared service model, keeping customer value in focus Enhances execution of robust capital plan and ability to deliver safe and reliable energy service Permanent capital partner that will provide ongoing capital to NIPSCO, supported by $250M equity commitment letter Blackstone will help NiSource to identify and implement economic development opportunities Implied value for 100% of NIPSCO is 96% of NI market capitalization, vs. <50% contribution to consolidated earnings and rate base Highly successful outcome, despite the challenging market backdrop, reinforces NiSource's best-in-class execution capabilities 8
View entire presentation