Published on 11/14/2013 in the Prospect News High Yield Daily.
New Issue: Hiland prices $200 million tap of 7¼% notes at 106 to yield 5.814%
By Paul A. Harris
Portland, Ore., Nov. 14 - Hiland Partners LP and Hiland Partners Finance Corp. priced a $200 million add-on to their 7¼% senior notes due Oct. 1, 2020 (B3/B-) at 106 to yield 5.814% on Thursday, according to a syndicate source.
The yield printed at the rich end of the 105.5 to 106 price talk.
BofA Merrill Lynch, Wells Fargo Securities LLC and RBS Securities Inc. were the joint bookrunners for the quick-to-market add-on.
The Enid, Okla.-based midstream services provider to oil and gas producers plans to use the proceeds to repay debt.
| Issuer: | Hiland Partners, LP and Hiland Partners Finance Corp.
|
| Face amount: | $200 million
|
| Proceeds: | $212 million
|
| Maturity: | Oct. 1, 2020
|
| Security description: | Add-on to senior notes due Oct. 1, 2020
|
| Bookrunners: | BofA Merrill Lynch, Wells Fargo Securities LLC, RBS Securities Inc.
|
| Senior co-managers: | BBVA Securities Inc., JPMorgan Securities LLC, US Bancorp Investments Inc.
|
| Co-managers: | BOSC Inc., Comerica Securities Inc.
|
| Coupon: | 7¼%
|
| Price: | 106
|
| Yield to worst: | 5.814%
|
| Call features: | Make-whole call at Treasuries plus 50 bps until Oct. 1, 2016, then callable at 103.625, 101.813, par on and after Oct. 1, 2018
|
| Equity clawback: | 35% at 107.25 until Oct. 1, 2015
|
| Trade date: | Nov. 14
|
| Settlement date: | Nov. 19 with accrued interest
|
| Ratings: | Moody's: B3
|
| Standard & Poor's: B-
|
| Distribution: | Rule 144A and Regulation S with registration rights
|
| Price talk: | 105.5 to 106
|
| Marketing: | Quick to market
|
| Original issue: | $400 million priced at par in September 2012
|
| Previous add-on: | $150 million add-on priced at 109 to yield 5.31% on April 23, 2013
|
| Total issue size: | $750 million
|
|
|
© 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.
