HOUSTON, Dec. 20, 2024 (GLOBE NEWSWIRE) -- Talen Energy Corporation (“Talen” or the “Company”) (NASDAQ: TLN) announced today that the Company has closed on several financing transactions (the “Transactions”) that improve the Company’s debt structure and financing cost. The Transactions include: (i) repricing the Company’s existing $700 million revolving credit facility (the “Revolver”) to reduce the current interest rate margin by 100 basis points (to SOFR plus 200 basis points, with further leverage-based step downs available), extending the maturity of the Revolver from May 2028 to December 2029, and increasing available letter of credit (“LC”) capacity under the Revolver from $475 million to $700 million; (ii) repricing its existing $859 million in Term B loans (the “Existing TLB”) to reduce the current interest rate margin by 100 basis points (to SOFR plus 250 basis points, with further leverage-based step downs available) to align pricing with its recently issued $850 million in incremental Term B loans (the “Incremental TLB”); (iii) issuing a new, standalone $900 million secured LC facility (the “New LC Facility”); (iv) repaying in full its existing $470 million in Term C loans and terminating the associated LC facility; and (v) terminating its existing $75 million standalone bilateral LC facility. Together, the Transactions are expected to result in annual savings of approximately $28 million in interest, fees, and other expenses, not including additional interest from the Incremental TLB. In conjunction with the Transactions, Talen obtained certain amendments increasing its flexibility for restricted payments, investments, and dispositions under its primary credit agreement, which governs the Revolver, Existing TLB, Incremental TLB, and New LC Facility.