Talen Energy Announces Launch of $1.2 Billion Term Loan B Financing, $200 Million Upsize of Revolving Credit Facility and $200 Million Upsize of Stand-Alone Letter of Credit Facility

Core Points - Talen Energy Corporation announced a $1.2 billion incremental Term Loan B financing and upsized its existing credit facilities, indicating a strong financial maneuvering to support growth initiatives [1][2] - The company plans to use the proceeds from the financing to fund the acquisition of two natural gas-fired combined cycle generation plants, the Freedom Energy Center and the Guernsey Power Station, with a total capacity of 2,881 MW [2][3] - The financing structure includes both upfront and delayed draw commitments, providing flexibility for the timing of the acquisitions [3] Financial Details - The incremental Term Loan B financing amounts to $1.2 billion [1] - The existing revolving credit facility has been upsized from $700 million to $900 million [1] - The stand-alone letter of credit facility has been increased from $900 million to $1.1 billion, with an extension of its maturity to December 2027 [1] Acquisition Information - The Freedom Energy Center has a capacity of 1,045 MW and is located in Luzerne County, Pennsylvania [2] - The Guernsey Power Station has a capacity of 1,836 MW and is situated in Guernsey County, Ohio [2] - Both acquisitions are part of purchase agreements dated July 17, 2025, with affiliates of Caithness Energy, L.L.C. [2] Company Overview - Talen Energy operates approximately 10.3 gigawatts of power infrastructure in the U.S., including 2.2 gigawatts of nuclear power [4] - The company is positioned to meet the growing demand for reliable and clean power, particularly for artificial intelligence data centers [4] - Talen Energy is headquartered in Houston, Texas, and is dedicated to generating power safely and reliably [4]