AI Power Boom Catapults NextEra to Top of Hybrid Debt Market (1)

As utilities splash out on spending to power America’s AI boom, NextEra Energy Inc. has just emerged as the largest issuer of hybrid bonds worldwide.

The Florida-based firm this week overtook long dominant issuers like Volkswagen AG and BP Plc after selling three hybrid bonds this week, including one with a novel structure. The largest US power utility also faces a rise in spending needs once it completes the proposed acquisition of Dominion Energy Inc.

NextEra’s rise comes just two years after a Moody’s Ratings’ methodology change that made it more practical for US companies to issue hybrid debt ...