(Bloomberg) — Talen Energy Corp. received a $788 million loan from a group led by GoldenTree Asset Management and a division of Silver Point Capital that will provide it with much-needed liquidity as power prices soar heading into the U.S. winter.
The first-lien facility maturing in September 2024 will repay $238 million of borrowings on its revolving credit facility and provide working capital during the winter period, according to a statement Thursday. The power producer had been negotiating with investors over a potential financing, Bloomberg previously reported.
The loan needs to be approved by a majority of lenders under its existing revolving credit facility, according to the statement. Talen is seeking to reach a deal by mid-December.
Talen’s hunt for fresh capital comes after it lined up $175 million from Orion Energy Partners in September to help build a data center and cryptocurrency mining operation. The company, which owns a mix of natural gas, coal, nuclear and solar plants, has been seeking to pivot its focus to renewable energy.
More stories like this are available on bloomberg.com
©2021 Bloomberg L.P.
