Enterprise Products signs 364-day revolving agreement for $1.5 billion

By Mary-Katherine Stinson

Lexington, Ky., April 1 – Enterprise Products Partners LP's operating subsidiary Enterprise Products Operating LLC replaced its revolving credit facility on March 29, according to an 8-K filing with the Securities and Exchange Commission.

The $1.5 billion 364-day revolving credit facility with Citibank, NA as administrative agent matures March 28, 2025. However, the company may, between 15 and 60 days prior to the maturity date, elect to have the entire principal balance then outstanding continued as non-revolving term loans for a period of one additional year, payable on March 28, 2026.

The 364-day revolver may be increased by up to $200 million to $1.7 billion, provided certain conditions are met.

Interest is equal to SOFR plus a spread of 81.5 basis points to 132.5 bps, depending on the company’s debt ratings.

In addition, the company is required to pay a facility fee of 6 bps to 17.5 bps, also based on ratings.

The new credit agreement replaces the company’s existing 364-day revolving credit agreement dated March 31, 2023 with Citibank as administrative agent, which provided for an aggregate borrowing capacity of $1.5 billion and had a maturity date of March 29.

Citibank, Wells Fargo Securities, LLC, Barclays, J.P. Morgan Securities LLC, Mizuho Bank, Ltd., MUFG Bank, Ltd., RBC Capital Markets, Sumitomo Mitsui Banking Corp., TD Securities (USA) LLC, Bank of Nova Scotia and Truist Securities, Inc. are the joint lead arrangers and joint bookrunners.

Wells Fargo Bank, NA, JPMorgan Chase Bank, NA, Mizuho, MUFG and Truist Bank are co-syndication agents.

Barclays, Royal Bank of Canada, SMBC, Bank of Nova Scotia, Houston Branch and Toronto-Dominion Bank, New York Branch are co-documentation agents.

The company may use proceeds for working capital, capital expenditures, acquisitions and other company purposes.

The midstream energy services provider is based in Houston.

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