On December 1, 2016, Calpine Corporation closed on a $550 million first lien senior secured term loan (Term Loan), which is scheduled to mature on November 30, 2017.

Calpine used the proceeds received from the Term Loan to partially fund the acquisition of Noble Americas Energy Solutions, LLC

The Term Loan provides for a senior secured term loan facility in an aggregate principal amount of $550 million and bears interest, at Calpine’s option, at either (i) the Base Rate, equal to the highest of (a) the Federal Funds Effective Rate plus 0.5% per annum, (b) the Prime Rate or (c) the Eurodollar Rate for a one month interest period plus 1.0% (in each case, as such terms are defined in the Credit Agreement), plus an applicable margin of 0.75% per annum, or (ii) LIBOR plus an applicable margin of 1.75% per annum (with no LIBOR floor). Calpine will pay an upfront fee in an amount equal to 1.0% of the aggregate principal amount of the Term Loan, which may be structured as original issue discount.

An aggregate amount equal to 0.25% of the aggregate principal amount of the Term Loan will be payable on June 30, 2016, with the remaining balance payable on the maturity date (November 30, 2017). Calpine may elect from time to time to convert all or a portion of the Term Loan from initial LIBOR rate loans to Base Rate loans or vice versa. In addition, Calpine may at any time, and from time to time, prepay the Term Loan, in whole or in part, without premium or penalty, upon irrevocable notice to the administrative agent. Partial prepayments shall be in an aggregate principal amount of $1 million or a whole multiple of $1 million in excess thereof, provided that any prepayment shall be first applied to any portion of the Term Loan that is designated as Base Rate loans and then LIBOR loans.

See Calpine's 8-K for more

In addition, on December 1, 2016, Calpine amended its revolving credit facility to increase the aggregate revolving loan commitments available thereunder by approximately $112 million to $1,790 million for the full term through the maturity date of June 27, 2020 and to increase the aggregate letter of credit sublimit by $150 million to $1.15 billion.

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