Longest Convertible-Bond Drought in Seven Years Is Finally Over

A new $900 million convertible bond deal set for Tuesday will snap the longest streak with no deals in seven years, including a completely dry July that saw no new notes issued.

CenterPoint Energy Inc. said Tuesday it will issue three-year convertible bonds after the market closes to fund redemption of preferred stock and pay down outstanding debt.

The issue ends a 35-day stretch with no new convertible bond issuance, going back to June 26 when a unit of American Water Works Co. Inc. raised $900 million, according to ICR Capital. That is the longest such period since ...