Skip to main content

Plains All American announces pricing of public offering of US$1 billion of senior notes

Published by , Editorial Assistant
World Pipelines,


Plains All American Pipeline, L.P. has announced that it and PAA Finance Corp., a wholly owned subsidiary of PAA, as co-issuer, have priced an underwritten public offering of US$1 billion aggregate principal amount of 5.950% senior unsecured notes due 2035 at a price to the public of 99.761% of their face value. The offering is expected to close on 15 January 2025, subject to the satisfaction of customary closing conditions.

Plains All American announces pricing of public offering of US$1 billion of senior notes

PAA intends to use the net proceeds of approximately US$988.1 million from the offering to (i) fund the acquisition of all of the membership interests in Ironwood Midstream Energy Partners II, LLC for approximately US$475 million, (ii) fund the repurchase of approximately 12.7 million Series A Preferred Units representing limited partner interests in PAA at par (US$26.25 per unit), plus accrued and unpaid distributions, both of which were announced on 7 January 2025, and (iii) repay amounts outstanding under PAA’s credit facilities and commercial paper program, and, pending such uses, for general partnership purposes, which may include, among other things, intra-group lending and related transactions, repayment of indebtedness, acquisitions, capital expenditures and additions to working capital. If it does not complete the Ironwood Acquisition and/or the Preferred Unit Repurchase, PAA expects to use the net proceeds from the offering for general partnership purposes as described above, including refinancing our 4.65% Senior Notes due October 2025.

Read the article online at: https://www.worldpipelines.com/business-news/14012025/plains-all-american-announces-pricing-of-public-offering-of-us1-billion-of-senior-notes/

You might also like

 
 
 

Embed article link: (copy the HTML code below):


 

This article has been tagged under the following:

US pipeline news