calpine corp (CPN) Key Developments
Calpine Corp. Mulls Acquisitions
Aug 25 14
Calpine Corp. (NYSE:CPN) is seeking acquisitions. Thad Hill, President and Chief Executive Officer of Calpine Corp said, "We continue to redeploy our capital to enhance shareholder value through accretive acquisitions and divestitures, organic growth, balance sheet management and return of capital to shareholders through our share repurchase program."
Calpine Corporation Announces Final Results of Tender Offers and Consent Solicitations for its 7.875% Senior Secured Notes Due 2020 and 7.50% Senior Secured Notes Due 2021
Aug 5 14
Calpine Corporation announced the final results of its cash tender offers to purchase any and all of its outstanding 7.875% Senior secured notes due 2020 and 7.50% senior secured notes due 2021 and solicitation of consents related to the notes. The offers and consent solicitations expired at 12:00 midnight, New York City time, on August 4, 2014 (expiration date). As of the expiration date, $870,908,000 principal amount, or approximately 98.97% of the outstanding principal amount, of the 2020 notes and $1,585,453,000 principal amount, or approximately 99.09% of the outstanding principal amount, of the 2021 notes, had been validly tendered (and not validly withdrawn), including $860,508,000 principal amount of the 2020 notes and $1,581,580,000 principal amount of the 2021 notes that were validly tendered (and not validly withdrawn) as of 5:00 p.m., New York City Time, on July 21, 2014 (consent date). The company has accepted for purchase all notes validly tendered and not validly withdrawn pursuant to the offers and consent solicitations. Calpine corporation received the requisite consents for each series of notes, and executed a supplemental indenture, dated as of July 22, 2014, with respect to each series of notes to effect the applicable proposed amendments described in the offer to purchase and consent solicitation statement, dated July 8, 2014. Holders who validly tendered their notes after the consent date but at or prior to the applicable expiration date, received $1,075.71 per $1,000 principal amount of 2020 notes and $1,084.29 per $1,000 principal amount of 2021 notes accepted for purchase pursuant to the applicable offer and related consent solicitation, plus accrued and unpaid interest from the last interest payment date to, but not including, August 5, 2014.
Calpine Corp. Announces Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2014; Reaffirms Earnings Guidance for the Full Year 2014; Reports Operating Results for the Second Quarter of 2014
Aug 1 14
Calpine Corp. announced unaudited consolidated earnings results for the second quarter and six months ended June 30, 2014. For the quarter, operating revenues were $1,939 million, income from operations was $329 million, income before income taxes was $156 million and net income attributable to Calpine was $139 million or $0.33 per diluted share against operating revenues of $1,572 million, income from operations of $122 million, loss before income taxes of $118 million and net loss attributable to Calpine of $70 million or $0.16 per diluted share for the same period a year ago. Total adjusted EBITDA was $413 million against $343 million a year ago. Adjusted free cash flow was $99 million or $0.23 per diluted share against $38 million or $0.08 per diluted share a year ago. Adjusted EPS of $0.23, up from $0.08 in second quarter of 2013.
For the six months, operating revenues were $3,904 million, income from operations was $473 million, income before income taxes was $124 million and net income attributable to Calpine was $122 million or $0.29 per diluted share against operating revenues of $2,813 million, income from operations of $126 million, loss before income taxes of $293 million and net loss attributable to Calpine of $195 million or $0.43 per diluted share for the same period a year ago. Net cash provided by operating activities was $349 million and purchases of property, plant and equipment was $258 million against net cash used in operating activities of $175 million and purchases of property, plant and equipment of $335 million a year ago. Total adjusted EBITDA was $859 million against $629 million a year ago. Adjusted free cash flow was $229 million or $0.23 per diluted share against negative free cash flow of $5 million or $0.01 per diluted share a year ago.
The company expects full year 2014 GAAP net income in the range of $680 to $780 million, interest expense, net of interest income of $675 million, depreciation and amortization expense of $610 million, adjusted EBITDA of $1,900 to $2,000 million, major maintenance expense and maintenance capital expenditures of $380 million, cash taxes of $20 million, adjusted free cash flow of $785 to $885 million and $1.85 to $2.10 of adjusted free cash flow per share.
The company generated approximately 24 million MWh4 of electricity in second quarter of 2014.
Calpine Corp. Plans for York 2 Energy Center
Aug 1 14
Calpine Corp. announced plans for York 2 Energy Center, a new 760 MW combined-cycle power plant, scheduled to achieve commercial operations in PJM in 2017. York 2 will be co-located with existing York Energy Center, allowing to leverage the infrastructure to build at a significant discount with attractive returns. The company proposing a 345 MW expansion of the Mankato Power Plant in response to a competitive resource acquisition process established by the Minnesota Public Utilities Commission ("MPUC") to acquire up to approximately 500 MW of new capacity. The initial stage of the proceeding was managed via a contested case hearing.
Calpine Corporation Executes an Amendment to Credit Agreement
Jul 31 14
Calpine Corporation executed amendment No. 2 to the credit agreement, effective July 30, 2014, amending the $1.0 billion senior secured revolving credit facility, dated as of December 10, 2010, as amended on June 27, 2013, among Calpine, as borrower, Goldman Sachs Bank USA, as administrative agent, Goldman Sachs Credit Partners L.P., as collateral agent, and the lenders party thereto. The corporate revolving facility was amended to increase the capacity by an additional $500 million to $1.5 billion.