stellation Energy (US:CEG) Yahoo Finance·2026-01-06 00:25Group 1 - Constellation Energy Group's subsidiary, Constellation Energy Generation, is seeking $2.75 billion in new financing through the issuance of senior notes, leading to a more than 3% drop in its stock price [1][2]. - The debt issuance consists of four tranches: $900 million maturing in 2028 at 3.9%, $800 million maturing in 2066 at just under 5.88%, $750 million maturing in 2031 at 4.4%, and $300 million as a floating-rate issue maturing in 2028 [3][4]. - Proceeds from the debt issuance will be used to retire the outstanding debt of Calpine, which has a net debt of over $11.8 billion as of the end of 2024 [5][6]. Group 2 - The issuance of debt to retire existing debt is a common practice among large energy companies, which often carry significant debt due to high capital spending requirements [6]. - Despite the concerns surrounding the debt issuance, there is an indication that the company is making efforts to improve its balance sheet post-acquisition of Calpine, which may be viewed positively by bullish investors [6].