Summary by Futu AI
NRG Energy has completed a major debt refinancing, issuing three series of senior notes totaling $2.67 billion. The company issued $925 million of 6.00% notes due 2033, $950 million of 6.25% notes due 2034, and exchanged $798.2 million of 5.75% notes due 2029. These notes are senior unsecured obligations guaranteed by the company's subsidiaries.The company secured a new $450 million incremental term loan B facility maturing in April 2031, which is fungible with its existing term loan facility. The loan bears interest at either a floating rate plus 1.00% margin or Term SOFR plus 2.00% margin. Additionally, NRG extended its revolving credit facility maturity to October 2029.The proceeds will be used to pay the tender price of APX 2027 Secured Notes, repay outstanding loans under APX's credit agreement, and redeem all outstanding 6.625% senior notes due 2027. As part of this refinancing, APX purchased approximately $589 million of its 6.75% senior secured notes due 2027, and NRG redeemed $375 million of 6.625% senior notes due 2027.
