NRG Energy Inc. announced that it has repriced its $1.872 billion Term Loan B due June 2023. The transaction is leverage neutral and enhances free cash flow before growth via annual cash interest savings, NRG said
The transaction will reduce the interest rate margin on the term loan by 50 basis points to LIBOR +175 basis points and also reduce the LIBOR floor to 0.00%.
As a result, NRG expects interest savings over the remaining life of the loan to total approximately $47 million. Expected annualized interest savings are estimated to be approximately $9 million