Oncor Draws $210 Million from Receivables Credit Line
Funds will help repay short-term debt as Oncor leverages structured financing for operational flexibility.
June 05, 2025
Oncor Taps Receivables Facility to Boost Liquidity
Oncor has pulled $210 million from its receivables credit facility, strengthening its cash position as it moves to pay down commercial paper and support ongoing operations. The transaction, completed on May 29, 2025, brings the total drawn under the facility to $210 million.
This funding tool has been in place since April 2023. It allows Oncor to transfer receivables from its retail electric business into a separate legal entity—Oncor Receivables LLC. That entity then uses the receivables as collateral to secure financing from lenders. It’s a structure designed to keep the receivables off Oncor’s balance sheet while ensuring creditors of the LLC have direct claims to those assets.
The maximum that can be borrowed at any one time is $500 million, but actual availability depends on the value of qualifying receivables. Lenders include MUFG Bank, which acts as the administrative agent.
Rates on the borrowings vary depending on who funds them:
- If funded by conduit lenders: the rate reflects the daily cost of issuing commercial paper, plus related fees.
- If funded by committed lenders: the rate is based on term SOFR for a one-month period , plus 0.10%.
Oncor Receivables LLC also pays both usage and unused line fees as part of the agreement.
The current facility runs through April 2028, but it can be extended in one-year increments with lender consent or ended early based on specific notice or trigger events.
This move is part of a broader strategy to manage near-term debt and keep funding flexible. Oncor has disclosed similar activity in filings from April 2023, April 2024, and May 2025.
By drawing on the facility now, Oncor is taking action to stay ahead of its liquidity needs—freeing up capacity in other financing channels and keeping operations moving without disruption.
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