Global Finance News
25 Sep 2025, 13:15
PG&E Secures $500M Term Loan Backed by First Mortgage Bond
Pacific Gas and Electric Company entered into a $500 million Term Loan Credit Agreement with Wells Fargo as administrative agent and a syndicate of lenders. The loan, borrowed in full at closing, matures on Sept. 23, 2026.
Borrowings carry interest at either Term SOFR plus 1.25% or an alternative base rate plus 0.25%. The loan is secured by a first mortgage bond issued under the company’s Mortgage Indenture, ranking pari passu with PG&E’s other first mortgage bonds.
The agreement includes customary covenants, including a maximum consolidated debt-to-capitalization ratio of 65%, and standard default provisions. Concurrently, PG&E executed the Thirtieth Supplemental Indenture with The Bank of New York Mellon Trust Company to issue the collateral bond securing the facility.
Pacific Gas and Electric Company entered into a $500 million Term Loan Credit Agreement with Wells Fargo as administrative agent and a syndicate of lenders. The loan, borrowed in full at closing, matures on Sept. 23, 2026.
Borrowings carry interest at either Term SOFR plus 1.25% or an alternative base rate plus 0.25%. The loan is secured by a first mortgage bond issued under the company’s Mortgage Indenture, ranking pari passu with PG&E’s other first mortgage bonds.
The agreement includes customary covenants, including a maximum consolidated debt-to-capitalization ratio of 65%, and standard default provisions. Concurrently, PG&E executed the Thirtieth Supplemental Indenture with The Bank of New York Mellon Trust Company to issue the collateral bond securing the facility.