Dynegy Inc. (NYSE: DYN) plans to obtain $1.7 billion in restructuring loans to finance debt in its gas- and coal-fired generation assets.
Dynegy plans to restructure its operations into the GasCo unit, which will own 6,771 MW in eight combined-cycle and peaking power plants that would receive $1.3 billion in debt. A second unit, CoalCo, would own 3,132 MW total in six coal-fired power plants and would receive $400 million in debt.
Credit Suisse Group AG and Goldman Sachs Group Inc. are arranging the six-year facilities, which Dynegy expects to be completed at the end ofJuly, but none of the deals have been finalized.
Bloomberg reported that Dynegy had $3.6 billion in long-term debt outstanding as of March 31.
Read more financial news