Dominion Energy Lines Up $1.5 Billion Junior Subordinated Note Sale
The Richmond utility divided the 30-year hybrid debt into two series, with a four-bank group leading the offering.
June 17, 2026
Dominion Energy has agreed to sell $1.5 billion of long-dated junior subordinated notes, a hybrid financing package split across two series of debt that matures in 2056.
The Richmond, Virginia energy company signed an underwriting agreement on June 8, 2026. The deal covers two tranches:
- $1 billion of 2026 Series A Junior Subordinated Notes due 2056
- $500 million of 2026 Series B Junior Subordinated Notes due 2056
Both series carry a final maturity in 2056, giving the offering a roughly 30-year horizon. Morgan Stanley, RBC Capital Markets, U.S. Bancorp Investments and Wells Fargo Securities are serving as representatives for the underwriting group.
Deal structure and trustees
The two series will be issued under separate supplemental indentures. The Series A notes fall under the Twenty-First Supplemental Indenture and the Series B notes under the Twenty-Second. Both are layered onto a subordinated indenture that dates to June 2006 and was amended in June 2009.
Deutsche Bank Trust Company Americas is acting as series trustee, with The Bank of New York Mellon as the original trustee on the underlying instrument. McGuireWoods provided the legal and tax opinions for the transaction.
Dominion is raising the money off an existing shelf. The notes were registered under a Form S-3 registration statement that took effect in October 2025, which lets the company issue the securities without a new registration round.
Why the hybrid structure
Junior subordinated notes rank below a company’s senior and subordinated debt but ahead of common equity. Capital-intensive issuers such as utilities often favor the structure because rating agencies may assign it partial equity credit, which can support credit metrics while the company still raises cash in the debt market. The long 2056 maturity fits that pattern.
The company did not disclose how it plans to use the proceeds, and the report does not include the coupon or pricing terms for either series.
