Talen Energy Has Launched An Incremental Term Loan B Credit Facility That Will Increase The Principal Term Loan B Balance Under Its Credit Facilities From $859M To Approximately $1.459B, The Company Also Expects To Replace Its Existing Term Loan C...

Benzinga · Dec 5, 2024 20:14

Talen Energy Has Launched An Incremental Term Loan B Credit Facility That Will Increase The Principal Term Loan B Balance Under Its Credit Facilities From $859M To Approximately $1.459B, The Company Also Expects To Replace Its Existing Term Loan C Facility With A New Letter Of Credit Facility.

The Company has concurrently executed an agreement to repurchase at least $600 million in aggregate purchase price of shares of its outstanding common stock (from affiliates of Rubric Capital Management LP (collectively, "Rubric"). The Repurchase is priced at a 4% discount to a 15-day VWAP prior to the closing of the Repurchase and is conditioned on the completion of the Financing. This transaction is incremental to the Company's previously announced share repurchase program. That program will have approximately $1.2 billion of remaining capacity available through 2026 after the Company closes the Repurchase.
The proceeds from the Financing will be used, together with cash on hand, to fund the Repurchase, and both transactions are expected to close before December 31, 2024. Subject to market demand, the Company may increase the size of the Financing and use the additional proceeds to purchase additional shares of common stock from Rubric on the same terms as the initial sizing, or for general corporate purposes.

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Talen Energy Has Launched An Incremental Term Loan B Credit Facility That Will Increase The Principal Term Loan B Balance Under Its Credit Facilities From $859M To Approximately $1.459B, The Company Also Expects To Replace Its Existing Term Loan C...

Talen Energy Has Launched An Incremental Term Loan B Credit Facility That Will Increase The Principal Term Loan B Balance Under Its Credit Facilities From $859M To Approximately $1.459B, The Company Also Expects To Replace Its Existing Term Loan C Facility With A New Letter Of Credit Facility.

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