International Power repays $769m of debt on US plants

INTERNATIONAL POWER, an electricity generating company, said yesterday it will temporarily repay $769m (&pound;469m) of debt it owes across fiveUS power plants, taking advantage of its &ldquo;strong&rdquo; cash position and low refinancing rates in the energy market.<br /><br />The London-listed firm, which owns energy plants across the world said: &ldquo;International Power intends to re-finance these assets in the future. These assets currently have a low level of gearing and there are a number of financing options available, which will be reviewed in the light of conditions in the US power and debt markets.&rdquo;<br /><br />The company added that after the move the firm will still have strong cash flows. The five plants are based in Texas and New England and have a total capacity of 3,523 megawatts.<br /><br />The group said it would sell its Czech business to Czecho-Slovak investment firm J&amp;T Group for &pound;738.3m in July.<br /><br />Last month in its interim management update, International Power said it expects earnings per share in 2009 to be broadly in line with 2008.