THE WOODLANDS, Texas, May 19, 2020 /PRNewswire/ -- Talen Energy Supply, LLC (the "Company" or "Talen Energy Supply") announced today that it intends to offer, subject to market and other conditions, $330 million in aggregate principal amount of its senior secured notes due 2028 (the "Notes") in a private offering. 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 senior secured notes due 2027, senior secured notes due 2028, existing revolving credit facility, senior secured term loan and inventory repurchase obligations 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 a portion of the net proceeds from this offering to repay all of the borrowings outstanding under the Company's revolving credit facility and to pay related transaction fees and expenses, and the remainder for general corporate purposes, which may include repayment of additional 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 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 power generation infrastructure companies in North America. The Company owns or controls approximately 14,000 megawatts of generating capacity in well-developed, structured wholesale U.S. power markets, principally in the Northeast, Mid-Atlantic and Texas.
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