Sabal Trail Transmission, LLC announced yesterday the closing of its US$1.5 billion offering of senior notes.
Sabal Trail is a joint venture comprised of Spectra Energy Partners, LP owning 50%, NextEra Energy, Inc. owning 42.5% and Duke Energy owning 7.5% (collectively the ‘Owners’). Sabal Trail is an approximately 517 mile interstate natural gas pipeline that will have the capacity to deliver approximately 1.1 billion ft3/d to the Southeast US, including firm transportation to meet the power generation needs of Florida Power & Light and Duke Energy of Florida, once approved future compression expansions occur.
The notes were issued in three tranches as follows (the ‘Notes’): US$500 million principal amount of 4.246% senior notes due 2028, US$600 million principal amount of 4.682% senior notes due 2038, and US$400 million principal amount of 4.832% senior notes due 2048.
Sabal Trail intends to use the net proceeds from the Offering to make proportional distributions to the Owners with respect to construction and development costs previously incurred by the Owners.
The Notes were offered and sold only to qualified institutional buyers in accordance with the exemption from registration provided by Rule 144A under the Securities Act of 1933, as amended. The Notes have not been registered under the Securities Act or applicable state securities laws. The Notes may not be offered or sold in the US absent registration or an applicable exemption from such registration requirements.
This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy the Notes described in this press release, nor shall there be any sale of the Notes in any state or jurisdiction in which such an offer, sale or solicitation would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.
Read the article online at: https://www.worldpipelines.com/business-news/01052018/sabal-trail-announces-pricing-of-us15-billion-debt-offering/