Hamilton Projects Acquiror completes repricing of $889M term loan; terms

Hamilton Projects Acquiror LLC has completed the repricing of its $888.75 million term loan B due June 2027 that lowered the spread on the facility to L+450, from L+475, and the Libor floor to 0.75%, from 1%, according to sources. The loan priced in line with talk at an original issue discount of 99.75 via a Morgan Stanley-led arranger group. The loan was placed in June 2020 to finance the acquisition of Liberty Energy Center and Patriot Energy Center by Carlyle Power Partners and EIG Management Co. The loan is covered by a 1.1x debt service coverage ratio. There is a cash sweep of the greater of 75% and the amount necessary to achieve a target debt balance, stepping down to 50% at a net leverage ratio of 3x. Liberty and Patriot are two natural gas-fired, combined-cycle gas power plants located in the PJM-MAAC capacity zone. The plants have a combined generating capacity of 1,671 MW with an average heat rate of approximately 6,500 Btu/kWh, making them the third- and fourth-most efficient combined-cycle gas turbines in the MAAC region.

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