TransAlta launches C$345 million of 4.509% amortizing notes due 2030

By Cristal Cody

Tupelo, Miss., July 18 – TransAlta Corp. indirect subsidiary TransAlta OCP LP launched approximately C$345 million of 4.509% amortizing notes due Aug. 5, 2030 (DBRS: BBB) in a private placement offering on Wednesday, according to a market source and a news release.

RBC Dominion Securities Inc. and BMO Nesbitt Burns Inc. are the bookrunners.

The notes are secured by a first ranking charge over all but a nominal percentage of the equity interests in the issuer and its general partner and a first ranking charge over all of the company’s accounts and certain other assets.

TransAlta also announced that it will redeem all of its C$400 million of outstanding 6.4% medium-term notes due Nov. 18, 2019. The redemption price will be $1,061.736 per $1,000 principal amount of the notes, representing an aggregate $424,694,410.96, including accrued and unpaid interest on the notes.

Proceeds will be used to make an initial advance to TransAlta under an intercompany loan agreement between the issuer and TransAlta, which will use the proceeds to partially fund the redemption of the 6.4% notes on Aug. 2, 2018.

TransAlta is an electrical power generation company based in Calgary, Alta.

© 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.