MGE Energy has commenced an underwritten public offering of $250,000,000 of shares of its common stock, subject to market and other conditions. Of the $250,000,000 of shares of common stock being offered, MGE Energy expects to issue and sell directly approximately $75,000,000 of shares to the underwriters in the offering, and the forward sellers expect to borrow from third parties and sell to such underwriters approximately $175,000,000 of shares of common stock in connection with the forward sale agreements. In conjunction with the offering, MGE Energy intends to grant the underwriters a 30-day option to purchase up to $37,500,000 of additional shares of its common stock. If such option is exercised, MGE Energy may enter into additional forward sale agreements with the forward purchasers with respect to such additional shares or issue and sell such shares directly to the underwriters.