NEP buys 71% of 5.600% notes held by Genesis Solar

CSP plant. Author: Green Prophet. License: Creative Commons, Attribution 2.0 Generic

July 17 (Renewables Now) - NextEra Energy Partners LP (NYSE:NEP) has bought roughly USD 170 million (EUR 151.5m) of the outstanding 5.600% Senior Secured Notes due 2038 held by the owner and operator of the 250-MW Genesis solar thermal power plant in California.

As announced in mid-June, NEP launched a cash tender offer targeting notes with an aggregate principal amount of USD 240.4 million held by Genesis Solar Funding LLC. On Tuesday, the offeror accepted for purchase USD 115.06 million principal amount of notes after previously buying USD 55.8 million worth of notes from one holder in a private transaction.

All in all, the company has accepted for purchase financial instruments that represent about 71% of the aggregate principal amount of the outstanding notes, it said.

Goldman Sachs & Co LLC served as dealer manager.

The Genesis concentrated solar power (CSP) plant in Riverside County consists of two 125-MW solar fields using parabolic trough technology, each owned by NextEra Energy Resources LLC, an indirect subsidiary of NextEra Energy Inc (NYSE:NEE).

The facility is selling all of its generated power under a contract with troubled California utility Pacific Gas and Electric Company (PG&E), owned by PG&E Corporation (NYSE:PCG), which filed voluntary petitions under Chapter 11 of the US Bankruptcy Code in late January. The development around the off-taker led to a downgrade of certain trust certificates of Genesis Solar right before the formal bankruptcy filing.

(USD 1.0 = EUR 0.891)

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