Vistra prices, gives early results of tender offer for three series

By Marisa Wong

Los Angeles, Dec. 28 – Vistra Corp. announced the early results and pricing terms of its Dec. 11 cash tender offer for three series of notes, issued by subsidiary Vistra Operations Co. LLC, in separate press releases on Tuesday.

Vistra is offering to purchase up to an aggregate principal amount of the notes that will not result in an aggregate purchase price that exceeds $750 million.

As of the early tender deadline, holders had tendered the following notes, with the series listed in order of acceptance priority level:

• $345,308,000 of the $1.5 billion outstanding 3.55% senior secured notes due 2024 (Cusips: 92840VAD4, U9226VAC1, U9226VAG2), all of which are expected to be accepted for purchase at $985.65 per $1,000 principal amount, with pricing calculated using the 0.375% U.S. Treasury due July 15, 2024 and a fixed spread of 115 basis points;

• $58,201,000 of the $400 million outstanding 4.875% senior secured notes due 2024 (Cusips: 92840VAK8, U9226VAJ6), all of which are expected to be accepted for purchase at $994.70 per $1,000 principal amount, with pricing calculated using the 0.25% U.S. Treasury due May 15, 2024 and a fixed spread of 105 bps; and

• $577,102,000 of the $1.1 billion outstanding 5.125% senior secured notes due 2025 (Cusips: 92840VAL6, U9226VAK3), $355,693,000 of which are expected to be accepted for purchase at $988.92 per $1,000 principal amount, with pricing calculated using the 2.125% U.S. Treasury due May 15, 2025 and a fixed spread of 135 bps.

Each of the total considerations listed above include an early tender premium of $30 per $1,000 of notes tendered by the early tender deadline.

In each case, accrued interest will also be paid.

The early tender deadline was 5 p.m. ET on Dec. 22.

Pricing was determined at 10 a.m. ET on Dec. 26.

Early settlement is expected on Jan. 2.

The offer expires at 5 p.m. ET on Jan. 10. However, because the offer cap has been exceeded as of the early tender deadline, Vistra does not expect to accept for purchase any notes tendered after the early deadline.

As previously reported, the cap had been increased soon after the launch of the offer; the original cap was $500 million.

The dealer manager is Citigroup Global Markets Inc. (800 558-3745).

Global Bondholder Services Corp. (212 430-3774, 855 654-2014) is the depositary and information agent.

The issuer is an integrated retail electricity and power generation company based in Irving, Tex.

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