Further details on Terra-Gen Power US$240 million refinancing
In a new release, Terra-Gen Power, LLC, a wholly-owned affiliate of ArcLight Capital Partners (ArcLight), provides details about the closing of the refinancing of its US$ 240 million debt facility for its subsidiary Terra-Gen Finance Company, LLC.
In a release by the company, “Terra-Gen Power, LLC (Terra-Gen), a wholly-owned affiliate of ArcLight Capital Partners (ArcLight), announced that its subsidiary Terra-Gen Finance Company, LLC (Terra-Gen Finance) has closed a $240 MM debt facility for its portfolio of 831 MW of renewable generating assets.
The corporate debt facilities are composed of a $215 million, 2.5-year senior secured term loan and a $25 million, 2.5-year senior secured working capital facility. The term loan was used to refinance an existing corporate credit facility and to pay transaction fees and expenses. The working capital facility will be used to support the issuance of project and corporate level letters of credit and for other general corporate purposes. The term loan carries a coupon of L + 500bps with a 3% LIBOR floor. Upfront fees ranged between 250-300 basis points.
Citigroup and BNP Paribas served as joint lead arrangers for the transaction. The lender group also included participating interests from Bank of Montreal, Barclays, Credit Suisse, Fortress, ING, Natixis, Union Bank of California, and UBS. BNP Paribas served as Administrative Agent, Citigroup as Syndication
Agent, and Natixis and ING as Co-Documentation Agents for the lender group.
The corporate facilities were well oversubscribed and the term loan was upsized from $200 million to $215 million one week prior to transaction closing.
The Terra-Gen Finance portfolio includes ownership interests in 831 MWs (net) of renewable generating capacity (387 MWs geothermal, 364 MWs wind, 80 MWs solar) across 21 projects located in the western United States. The projects are 100 percent contracted during the term of the facility under power
purchase agreements maturing from 2014 to 2038.”
Source: Company announcement via Reuters