TerraForm extends bid to waive late-filing defaults by a further week

New York, July 14 – TerraForm Power, Inc. said that its TerraForm Power Operating, LLC subsidiary extended its consent solicitation to waive defaults related to the reporting covenants in its notes by an additional week.

The solicitation now ends at 5 p.m. ET on July 20.

It previously expired at 5 p.m. ET on July 13, extended on July 11 from 5 p.m. ET on July 8.

All other terms of the solicitation remain unchanged, according to a news release.

As announced June 24, TerraForm is soliciting consents from holders of its 5 7/8% senior notes due 2023 and its 6 1/8% senior notes due 2025 to waive defaults that may have already occurred for the annual and quarterly reporting covenants.

The company is also seeking to waive compliance until the first extension date of Sept. 30 if it has not filed the reports by the trigger date of 5 p.m. ET on Aug. 29, until the second extension date of 5 p.m. ET on Oct. 31 if it has not filed by the first extension date, until the third extension date of 5 p.m. ET on Nov. 30 if it has not filed by the second extension date and until the waiver expiration date of 5 p.m. ET on Dec. 31 if it has not filed by the third extension date.

The solicitation was originally set to end at 5 p.m. ET on June 30.

The company noted that the waiver may become effective before the solicitation ends for either series of notes if TerraForm receives consents from holders of a majority of that series before the deadline.

Holders who deliver consents by the expiration will receive an initial consent fee of $2.50 per $1,000 principal amount.

Consenting holders will also receive an additional fee of $2.50 per $1,000 principal amount on each of the trigger date, the first extension date, the second extension date and the third extension date if TerraForm needs the extra time to file its reports. Payment of the fee in each case will extend the waiver.

Citigroup Global Markets Inc. (800 558-3745 or 212 723-6106) is the solicitation agent. Global Bondholder Services Corp. (866 794-2200) is tabulation agent.

TerraForm is a Bethesda, Md., owner and operator of clean energy power plants.

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