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
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