Vistra Corp. (VST, Financial) has announced a significant amendment to its existing Credit Agreement, originally dated October 3, 2016. The amendment, effective October 11, 2024, involves several key changes aimed at enhancing the company's financial flexibility and capacity.
One of the primary modifications includes the extension of the maturity date for the 2022 Extended Revolving Credit Facility. The new maturity date has been pushed from April 29, 2027, to October 11, 2029. This extension provides Vistra Corp. with a longer timeframe to manage its financial obligations effectively.
Additionally, the amendment introduces an increase in the revolving credit commitments. The existing class of 2022 Extended Revolving Credit Commitments has been raised from $3.175 billion to $3.440 billion. This increase is subject to the same prepayment provisions, maturity date, and other terms and conditions as the existing commitments under the Credit Agreement.
Furthermore, the amendment appoints a new revolving letter of credit issuer and revises certain provisions of the Credit Agreement. These revisions include increasing the permissible maximum incremental facilities amount and expanding capacity under specific negative covenant "baskets." These changes are designed to align with the company's strategic financial objectives.
The full text of the Credit Agreement Amendment will be available in Vistra Corp.'s next periodic report, providing further details on these developments. This strategic move underscores Vistra Corp.'s commitment to maintaining robust financial health and operational flexibility.
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