Clearway Energy, Inc. (NYSE: CWEN) declared on Tuesday that its unit Clearway Energy Operating LLC has decided to start an offering of $925 million in total principal amount of senior notes due 2031. The firm disclosed that the New Notes which the firm has offered are the unsecured commitments of Clearway Operating.
The guarantor of this offering is CWEN and Clearway Energy LLC. Furthermore, each of Clearway Operating’s fully owned current and future units that assures obligation under its credit agreement are the guarantor of this offering.
Clearway Energy, Inc. (NYSE: CWEN) shares were moved down 0.90% at the time of writing on Tuesday. CWEN share price went from a low point around $16.12 to briefly over $37.23 in the past 52 weeks, though shares have since pulled back to $28.55. CWEN's market cap has stayed high, reaching $2.35 billion at the time of writing.
The unit of CWEN is planning to assign an amount equal to the net profit from the offering of the New Notes to fund or refinancing, in part or in full, latest, and current projects and assets that meet specific renewable energy generation criteria for eligibility.
The unit of CWEN has decided to use the profit to buy back any of the $600 million exceptional principal amounts of its 5.750% senior notes due 2025, to pay the related charges of the offering and all other expenditures related to it, and to repay unsettled loans under Clearway Operating’s revolving credit facility and lastly for general purposes of the business.