Goldman Sachs Serves as Initial Purchaser in Dynegy’s $850 Million Senior Notes Offering
NEW YORK – Paul Hastings LLP, a leading global law firm, advised Goldman Sachs & Co. LLC (“Goldman Sachs”) as representative for the initial purchasers in the private offering of $850 million aggregate principal amount of 8.125% senior notes due 2026 by Dynegy Inc. (“Dynegy”).
Concurrently with this offering, Paul Hastings represented Goldman Sachs, as Dealer Manager, in connection with a cash tender offer by Dynegy (the “Offer”) for up to a total of $1.25 billion aggregate principal amount of its outstanding 6.75% senior notes due 2019 (the “2019 Notes”). As of August 18, 2017, $974,744,000 aggregate principal amount of the outstanding 2019 Notes were validly tendered.
Dynegy intends to use the proceeds of the offering, together with approximately $480 million of cash received in July 2017 in connection with the sale of its Armstrong and Troy plants and approximately $200 million of other cash-on-hand, (i) to pay the consideration in connection with the Offer and/or a conditional notice of redemption to redeem the same principal amount of 2019 Notes not repurchased in the Offer, (ii) to prepay $200 million of Dynegy’s outstanding senior secured term loan, (iii) to pay related fees and expenses and (iv) for general corporate purposes.
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