THE WOODLANDS, Texas, May 8, 2019 /PRNewswire/ -- Talen Energy Supply, LLC (the "Company" or "Talen Energy Supply") announced today that it has priced an offering of $750 million in aggregate principal amount of its 7.25% Senior Secured Notes due 2027 (the "Notes"). The aggregate principal amount of the Notes offered was increased from $500 million. The offering is expected to close on May 21, 2019, subject to customary closing conditions. The Notes will be guaranteed by certain of Talen Energy Supply's subsidiaries that guarantee its existing indebtedness. The Notes and the guarantees will be secured equally and ratably with the Company's existing revolving credit facility and term loan facilities by a first-priority lien on substantially all of the property and assets of the Company and the guarantors. Talen Energy Supply intends to use the net proceeds from this offering, together with cash on hand, to complete tender offers and consent solicitations for certain series of the Company's existing senior notes. The Company intends to use any remaining net proceeds from this offering to repurchase or repay other existing indebtedness.
The Notes will be offered and sold only to persons reasonably believed to be qualified institutional buyers in the United States pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended (the "Securities Act") and outside the United States to non-U.S. persons pursuant to Regulation S under the Securities Act. The Notes will not be registered under the Securities Act, and may not be offered or sold in the United States without registration under the Securities Act or pursuant to an applicable exemption from such registration requirements.
This announcement is for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, any security and does not constitute an offer, solicitation or sale of any security in any jurisdiction in which such offer, solicitation or sale would be unlawful. This press release does not constitute an offer to purchase or the solicitation of an offer to sell the Company's 4.600% Senior Notes due 2021, 9.500% Senior Notes due 2022 or 6.500% Senior Guaranteed Notes due 2024, which are the subject of the tender offers.
This press release contains forward-looking statements within the meaning of the federal securities laws. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. These risks include, but are not limited to, the Company's ability to consummate the offering of Notes on the terms described or at all. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. The forward-looking statements in this press release are made as of the date hereof, and the Company does not undertake any obligation to update the forward-looking statements as a result of new information, future events or otherwise.
About Talen Energy Supply
Talen Energy Supply is one of the largest competitive energy and power generation companies in North America. The Company owns or controls approximately 15,000 megawatts of generating capacity in well-developed, structured wholesale power markets, principally in the Northeast, Mid-Atlantic and Southwest regions of the United States.
Senior Vice President, Treasurer, and Head of Investor Relations
Senior Manager, Investor Relations and FP&A
Media & Community Relations Manager
SOURCE Talen Energy Supply, LLC