| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers T > Headlines for Tenders 2006 > News item |
Reliant Energy again extends consent solicitation for 6¾%, 9¼%, 9½% notes
By Laura Lutz
Des Moines, Sept. 26 - Reliant Energy Inc. once again extended its solicitation of consents from holders of its 9¼% senior secured notes due 2010, 9½% senior secured notes due 2013 and 6¾% senior secured notes due 2014, this time to 5 p.m. ET on Oct. 4.
The deadline was previously on Sept. 26. Before that, it was set for Aug. 30, Aug. 3, Sept. 1 and Sept. 13.
Noteholders who consent before the expiration will receive a $2.50 consent fee, increased from $1.25, per $1,000 principal amount of notes.
The solicitation also covers five series of Pennsylvania Economic Development Financing Authority's outstanding exempt facilities revenue bonds (Reliant Energy Seward, LLC Project).
As announced on July 26, the primary purpose of the consent solicitation is to amend the indentures governing the bonds to permit Reliant Energy to enter into a new retail credit structure, which is intended to substantially eliminate collateral postings and reduce liquidity requirements associated with procuring supply for the company's retail energy business.
The proposed amendments would permit the debt associated with a new working capital credit facility, would permit the liens contemplated by the facility, would permit restrictions on the ability of the retail energy business to upstream money to Reliant Energy and make certain other technical amendments to permit the new retail credit structure.
Global Bondholder Services Corp. (212 430-3774 for banks and brokers, 866 873-6300 for others) is the information agent, and Goldman, Sachs & Co. (212 902-0041 or 800 828-3182) is solicitation agent.
The Houston-based energy company said it must receive consents from holders of a majority of the notes to approve the amendments.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.