EDMONTON, Alberta – Capital Power Corporation (Capital Power or the Company) (TSX: CPX) announced today that it has closed a $325 million private placement of senior notes. The net proceeds from the transaction will primarily be used for refinancing of existing bank indebtedness and for other general corporate purposes.
The senior notes consist of three tranches with 10, 12 and 15-year terms. The 10-year senior note has a principal amount of $210 million that matures in June 2029 with a coupon rate of 4.56%. The 12-year senior note has a $65 million principal amount and matures in June 2031 with a coupon rate of 4.72%. The 15-year senior note has a $50 million principal amount and matures in June 2034 with a coupon rate of 4.96%.
“The completion of this long-term debt financing demonstrates investors’ continued confidence in Capital Power’s outlook,” said Bryan DeNeve, Senior Vice President Finance and CFO of Capital Power. “The financing strengthens our relationships with private placement debt holders and provides long-term financing at reasonable terms that align with our long asset lives.”
National Bank of Canada Financial Inc. was the sole lead placement agent on the private placement with Scotia Capital (USA) Inc. and TD Securities (USA) LLC as co-agents.
About Capital Power
Capital Power (TSX: CPX) is a growth-oriented North American power producer headquartered in Edmonton, Alberta. The company develops, acquires, owns, and operates power generation facilities using a variety of energy sources. Capital Power owns nearly 6,000 megawatts (MW) of power generation capacity at 26 facilities across North America. Approximately 900 MW of owned generation capacity is in advanced development in Alberta and Illinois.