Report: TPG Eyes Alinta Energy Restructuring

(Reuters) – Private equity firm TPG Capital’s [TPG.UL] debt investment team is looking at a restructuring plan for Australian power generator Alinta Energy (AEJ.AX), The Australian newspaper said on Friday.

The TPG fund has teamed up with other lenders to draft a debt-for-equity plan to resurrect the company as a single entity, The Australian said, citing sources. It said the proposal was in its very early stages.

The chief of the TPG distressed-debt fund and former Goldman Sachs partner Alan Waxman visited Australia last week, the report added.

Alinta said in June it had received indicative bids for all or some of its businesses as it weighs up asset sales ahead of a deadline to start paying down its A$2.7 billion ($2.43 billion) debt pile.

Other parties interested in all or some of Alinta include Origin Energy (ORG.AX) and BHP Billiton (BHP.AX)(BLT.L), sources familiar with the situation told Reuters at the time. 

Alinta opened a data room for prospective bidders earlier this year. The utility was also looking at capital management options as part of efforts to pay down debt.

TPG was being advised by Moelis & Co and Goldman Sachs, the newspaper report said Friday. (Reporting by Michael Smith; editing by Balazs Koranyi)