Talen Energy Corporation (NASDAQ: TLN) announced that its subsidiary Talen Energy Supply has completed financing transactions to restructure its debt and reduce borrowing costs. The company repriced two senior secured term loan B facilities totaling $1.685 billion.

The first transaction involves an existing $846 million facility originally due in May 2030. The company reduced the interest rate margin to SOFR plus 175 basis points and extended the maturity to November 2032. The second transaction repriced an existing $839 million facility due December 2031, also reducing the interest rate margin to SOFR plus 175 basis points while maintaining the original maturity date.

Combined with the company's recent redemption of its 8.625% Senior Secured Notes due 2030, these transactions are projected to generate approximately $47 million in annual interest savings for Talen Energy.

"We are committed to capital discipline and creating shareholder value," said Chief Financial Officer Cole Muller. "The Transactions strengthen our line of sight to delivering more than $40 per share of annual free cash flow by 2028."

Talen Energy operates as an independent power producer with approximately 13.1 gigawatts of power infrastructure in the United States, including 2.2 gigawatts of nuclear power. The company's generation assets are primarily located in the Mid-Atlantic, Ohio and Montana regions, selling electricity, capacity and ancillary services into wholesale power markets.

The information is based on a company press release.