Vistra Corp., a leading integrated retail electricity and power generation company based in Irving, Texas, announced the launch of senior secured notes due in 2031 and 2036. These notes are part of a private offering aimed at qualified institutional buyers and certain non-U.S. persons, in compliance with the Securities Act. The offering will be managed under Rule 144A for the United States and Regulation S for international investors.
The senior secured notes will be obligations of Vistra Operations Company LLC, which is an indirect, wholly owned subsidiary of Vistra. The notes will be guaranteed by certain subsidiaries of the issuer and will be secured by collateral comprising a substantial portion of the property, assets, and rights owned by the issuer and its subsidiary guarantors. Importantly, the collateral will be released if the issuer’s unsecured long-term debt securities achieve an investment-grade rating from at least two out of three rating agencies.
The proceeds from this offering are intended for several purposes, including funding a portion of the acquisition of Cogentrix Energy, general corporate purposes, and repaying existing debts. This move comes as Vistra continues to enhance its portfolio and strengthen its financial position.
The offering is significant for Vistra as it seeks to expand its footprint in the energy sector while aligning with its commitment to sustainability and efficient power generation. The company operates a diverse mix of energy facilities including solar, wind, natural gas, nuclear, and battery energy storage, reflecting its dedication to reliability and affordability for customers across the United States.
Vistra remains focused on transforming the energy landscape amidst ongoing market shifts and challenges, showcasing resilience and adapting to meet future demands. As the company navigates through potential uncertainties, including economic fluctuations and regulatory changes, it remains confident in its strategic direction and the positive impacts of its initiatives.
The notes will not be registered under the Securities Act and cannot be sold in the U.S. without registration or an exemption. This press release does not constitute an offer to sell or the solicitation of an offer to buy the notes.
With a strong emphasis on innovation and customer-centric approaches, Vistra aims to continue setting benchmarks in the energy sector while contributing to essential services for communities nationwide.