Peabody Energy increased its term loan to $950 million from $500 million. The term loan, together with $500 million aggregate principal amount of senior secured notes due 2022 and $500 million aggregate principal amount of senior secured notes due 2025, brings Peabody Energy’s expected total long-term debt capitalization upon emergence from bankruptcy to $1.95 billion, consistent with the total debt structure contemplated by the company’s plan of reorganization.

The term loan facility will mature in 2022 and bear interest at a rate of LIBOR plus 4.50% per annum, with a 1.00% LIBOR floor.

The facility is being arranged by Goldman Sachs Bank, JPMorgan Chase and Credit Suisse Securities as joint lead arrangers, and Macquarie Capital serving as a co-documentation agent. The transaction is in connection with the restructuring of Peabody Energy as part of the second amended joint plan of reorganization filed with the U.S. Bankruptcy Court for the Eastern District of Missouri on Jan. 27, 2017.

The obligations of Peabody Energy under the term loan facility will be jointly and severally, and fully and unconditionally, guaranteed on a senior secured basis by substantially all of Peabody Energy’s current and future direct or indirect U.S. subsidiaries (subject to certain exceptions). The term loan will also be secured by a first priority lien on substantially all of Peabody Energy’s tangible and intangible assets (subject to certain exceptions).

The term loan is expected to close on April 3, 2017, concurrent with the anticipated effective date of Peabody Energy’s plan of reorganization and subject to court approval. The proceeds from the term loan will be used to fund a portion of the distributions to creditors provided for under the plan of reorganization.

Peabody Energy is the world’s largest private-sector coal company.