NRG Energy reveals transformation plan to cut costs, slash debt and divest assets
NRG Energy Inc. NRG, +1.12% announced Wednesday a “transformation plan” aimed at cutting recurring costs by $1.1 billion, slashing debt obligations by $13 billion and completing assets sales worth up to $4.0 billion. The integrated power company said it plans to deploy up to $6.3 billion in excess cash through 2020, including $4 billion by end of 2018, in either projects or investments or shareholder return programs. As part of the plan, the company is targeting divesting 50% to 100% of its interest in NRG Yield and its leading renewables platform. NRG has engaged Citi, Goldman Sachs and Morgan Stanley for certain asset sale processes, and expects to announce signed agreements during the fourth quarter of 2017.