Published on 10/5/2023 in the Prospect News Investment Grade Daily.
New Issue: Atmos Energy prices $900 million in notes due 2033, 2053
By Wendy Van Sickle
Columbus, Ohio, Oct. 5 – Atmos Energy Corp. sold $900 million of senior notes due 2033 and 2053 (A1/A-) on Thursday, according to an FWP filing with the Securities and Exchange Commission.
The $400 million 5.9% senior notes due Nov. 15, 2033 priced at 99.87 to yield 5.916%, or 120 basis points over Treasuries.
The $500 million 6.2% senior notes due Nov. 15, 2053 priced at 99.759 to yield 6.217%, or 133 bps over Treasuries.
BofA Securities, Inc., Credit Agricole Securities (USA) Inc., Mizuho Securities USA LLC, TD Securities (USA) LLC, CIBC World Markets Corp., Truist Securities, Inc. and Wells Fargo Securities, LLC are the joint bookrunning managers.
Proceeds will be used for general corporate purposes, including the repayment of working capital borrowings related to the company’s commercial paper program. As of Sept. 29, Atmos had approximately $242 million of commercial paper outstanding with a weighted average annual interest rate of 5.4596% and a weighted average maturity of 7.64 days.
Atmos Energy is a natural gas distributor and pipeline company based in Dallas.
| Issuer: | Atmos Energy Corp.
|
| Amount: | $900 million
|
| Issue: | Senior notes
|
| Bookrunners: | BofA Securities, Inc., Credit Agricole Securities (USA) Inc., Mizuho Securities USA LLC, TD Securities (USA) LLC, CIBC World Markets Corp., Truist Securities, Inc. and Wells Fargo Securities, LLC
|
| Senior co-managers: | Fifth Third Securities, Inc. and Regions Securities LLC
|
| Co-manager: | Academy Securities, Inc.
|
| Trustee: | U.S. Bank Trust Co., NA
|
| Counsel to issuer: | Gibson, Dunn & Crutcher LLP and Hunton Andrews Kurth LLP
|
| Counsel to underwriters: | Norton Rose Fulbright US LLP
|
| Trade date: | Oct. 5
|
| Settlement date: | Oct. 10
|
| Ratings: | Moody’s: A1
|
| S&P: A-
|
|
|
| 2033 notes
|
| Amount: | $400 million
|
| Maturity: | Nov. 15, 2033
|
| Coupon: | 5.9%
|
| Price: | 99.87
|
| Yield: | 5.916%
|
| Spread: | Treasuries plus 120 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps; par call starting Aug. 15, 2033
|
| Cusip: | 049560AZ8
|
|
|
| 2053 notes
|
| Amount: | $500 million
|
| Maturity: | Nov. 15, 2053
|
| Coupon: | 6.2%
|
| Price: | 99.759
|
| Yield: | 6.217%
|
| Spread: | Treasuries plus 133 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps; par call starting May 15, 2053
|
| Cusip: | 049560BA2
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
