Midstreamer behemoth Enterprise Products Partners announced its Enterprise Products Operating LLC unit has priced a public offering of $2.5 billion of debt, comprised of $1.25 billion senior notes due July 31, 2029, and $1.25 billion of senior notes due Jan. 31, 2050, Kallanish Energy reports.
Net proceeds from the offering will be used to repay debt, including the repayment of amounts outstanding under Enterprise’s commercial paper program and payment of the company’s $800 million of Senior Notes LL due October 2019, and for general company purposes.
Senior Notes YY will be issued to the public at 99.955% of their principal amount and will have a fixed-rate interest coupon of 3.125%. Senior Notes ZZ will be issued to the public at 99.792% of their principal amount and will have a fixed-rate interest coupon of 4.20%.
Enterprise Products Partners will guarantee the senior notes through an unconditional guarantee on an unsecured and unsubordinated basis. Settlement of the offering is expected to occur on July 8.
J.P. Morgan Securities, BofA Securities, Morgan Stanley, and TD Securities (USA) acted as joint book-running managers for the offering.