MGE Partners with Local Banks on Financing Arrangement
Madison, Wis., Nov. 9, 2022—Madison Gas and Electric Company (MGE) today announced a financing partnership with seven regional and locally owned banks operating throughout MGE's service territory.
The $40 million unsecured revolving credit facility will be used for general corporate purposes.
"Raising capital in MGE's service area helps form strong partnerships," said Jared Bushek, MGE Vice President Finance, Chief Information Officer and Treasurer. "The Community Credit Facility provides us with liquidity and diversifies our lender base. In the process, we've established new relationships with banks operating within MGE's service area that also are our customers. By utilizing partnerships with our local banks, MGE is taking advantage of the great services these banks provide as well as supporting an industry that, in turn, will help other local businesses grow."
The U.S. Bank National Association, one of the participating banks, also served as lead arranger and administrative agent. Other participating banks include:
- Associated Bank, syndication agent
- Capitol Bank
- Johnson Bank
- First Business Bank
- State Bank of Cross Plains
- One Community Bank
CFSD Group LLC served as an advisor to MGE on this financing arrangement.
"As your community energy company, MGE partners with local businesses and organizations to help drive strong economic growth throughout our community," said Jeff Keebler, MGE Chairman, President and CEO. "Supporting our local banks through this arrangement is a win-win."
MGE generates and distributes electricity to 159,000 customers in Dane County, Wis., and purchases and distributes natural gas to 169,000 customers in seven south-central and western Wisconsin counties. MGE's parent company is MGE Energy, Inc. (Nasdaq: MGEE). The company's roots in the Madison area date back more than 150 years.