Southern California Gas Co. Closes $500M 5.50% Bond Offering

What Happened

• Southern California Gas Company (an indirect Sempra subsidiary) announced on August 21, 2026 that it closed a public offering of $500,000,000 aggregate principal amount of its 5.500% First Mortgage Bonds, Series GGG, due September 1, 2036.
• The Bonds were issued under a Supplemental Indenture (filed as Exhibit 4.1). Proceeds to the Company, after the underwriting discount but before other offering expenses, were 98.755% of principal; other offering expenses are estimated at approximately $1.1 million. Interest accrues from August 21, 2026 and is payable semiannually on March 1 and September 1, beginning March 1, 2027.

Key Details

• Total principal: $500,000,000 of Series GGG First Mortgage Bonds.
• Coupon: 5.500% per annum; maturity date: September 1, 2036.
• Proceeds: 98.755% of principal (net of underwriting discount, before ~ $1.1M in offering expenses).
• Interest accrual: from August 21, 2026; payments semiannually; bonds are redeemable prior to maturity at the company’s option per the bond form.

Why It Matters

• This is a financing event: the company has locked in long‑term, fixed‑rate debt at 5.50% maturing in 2036, which affects its debt profile and future interest obligations.
• For bond investors, the terms (coupon, maturity, redemption provisions) define income and call risk; for equity holders, the issuance affects capital structure and liquidity but does not itself indicate operational performance.
• The offering was registered on the company’s Form S‑3, and related documents (Supplemental Indenture and bond form) are filed with the 8‑K for review.