NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated - S&P Global Ratings’ Credit Research

NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated

NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated - S&P Global Ratings’ Credit Research
NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated
Published Nov 16, 2020
3 pages (1603 words) — Published Nov 16, 2020
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Abstract:

NEW YORK (S&P Global Ratings) Nov. 16, 2020--S&P Global Ratings today assigned its 'BBB-' issue-level and '1' recovery ratings to NRG Energy Inc.'s proposed $1.465 billion senior secured bonds due 2025 and 2027. The '1' recovery rating indicates our expectation for very high (90%-100%; rounded estimate: 95%) recovery in the event of a default. We also assigned our 'BB+' issue-level and '4' recovery ratings to NRG's proposed $1.465 billion unsecured bonds due 2028 and 2030. The '4' recovery rating indicates our expectation for average (30%-50%; estimate: 35%) recovery. Our 'BBB-' issue-level rating on the company's $2.6 billion revolver is unchanged. NRG is upsizing this amount, and the increase will take effect upon close of the Direct Energy acquisition, which we

  
Brief Excerpt:

...November 16, 2020 NEW YORK (S&P Global Ratings) Nov. 16, 2020--S&P Global Ratings today assigned its '###-' issue-level and '1' recovery ratings to NRG Energy Inc.'s proposed $1.465 billion senior secured bonds due 2025 and 2027. The '1' recovery rating indicates our expectation for very high (90%-100%; rounded estimate: 95%) recovery in the event of a default. We also assigned our '##+' issue-level and '4' recovery ratings to NRG's proposed $1.465 billion unsecured bonds due 2028 and 2030. The '4' recovery rating indicates our expectation for average (30%-50%; estimate: 35%) recovery. Our '###-' issue-level rating on the company's $2.6 billion revolver is unchanged. NRG is upsizing this amount, and the increase will take effect upon close of the Direct Energy acquisition, which we expect by year-end 2020. The total revolving commitments available at that time will be $3.7 billion. NRG had repriced the revolver and extended its maturity to 2024. The amendment to the credit agreement included...

  
Report Type:

Ratings Action

Ticker
NRG
Issuer
NRG Energy Inc.
GICS
Electric Utilities (55101010)
Sector
Global Issuers
Country
United States
Region
United States
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated" Nov 16, 2020. Alacra Store. May 23, 2025. <http://www.alacrastore.com/s-and-p-credit-research/NRG-Energy-Inc-s-Proposed-2-93-Billion-Acquisition-Financing-Rated-2555441>
  
APA:
S&P Global Ratings’ Credit Research. (). NRG Energy Inc.'s Proposed $2.93 Billion Acquisition Financing Rated Nov 16, 2020. New York, NY: Alacra Store. Retrieved May 23, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/NRG-Energy-Inc-s-Proposed-2-93-Billion-Acquisition-Financing-Rated-2555441>
  
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