CPV Maryland reduces term loan B amount to $350 million

By Sara Rosenberg

New York, May 10 – CPV Maryland LLC downsized its seven-year term loan B to $350 million from $375 million, according to a market source.

Additionally, the 101 soft call protection on the term loan was extended to one year from six months, the source said.

Pricing on the term loan remained at Libor plus 400 basis points with a 1% Libor floor and an original issue discount of 99.

The term loan still includes a 1.1x debt service coverage ratio covenant, a six-month debt-service reserve account, and an excess cash flow sweep of 75% if debt-to-EBITDA is greater than or equal to 4x, with a step-down to 50% once leverage is below 4x.

The company’s now $450 million of credit facilities (Ba3/BB-), down from $475 million, provide for a $100 million 6.5-year revolver as well.

MUFG, BNP Paribas Securities Corp., Credit Agricole and Mizuho are the joint lead arrangers on the deal. MUFG is the administrative agent.

Proceeds will be used to refinance an existing term loan, fund a distribution to the sponsors and pay transaction costs.

CPV Maryland owns the CPV St. Charles Energy Center, an operating 745 MW natural gas-fired, combined cycle generating facility located in Charles County, Md.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.