AmeriGas $1.35 billion drive-by features eight-year notes guided at 5¾%, 10-year notes at 6%

By Paul A. Harris

Portland, Ore., June 20 – AmeriGas Partners, LP plans to price $1.35 billion of senior notes (Ba3//BB) in two bullet tranches on Monday, according to a market source.

The deal features eight-year notes with initial yield guidance of 5¾% and 10-year notes with initial guidance of 6%.

Books close at 1 p.m. ET, and the public offering is set to price thereafter.

BofA Merrill Lynch, Citigroup Global Markets Inc., J.P. Morgan Securities LLC and Wells Fargo Securities LLC are the joint bookrunners.

Citizens Capital Markets Inc. and PNC Capital Markets LLC are the senior co-managers.

BB&T Capital Markets, a division of BB&T Securities, BNY Mellon Capital Markets LLC, Santander Investment Securities Inc. and TD Securities (USA) LLC are the co-managers.

The notes in both tranches feature make-whole calls. The eight-year notes feature a par call two months prior to maturity, and the 10-year notes feature a par call three months prior to maturity. The notes in both tranches are otherwise non-callable.

The co-issuer will be AmeriGas Finance Corp., a wholly owned subsidiary of AmeriGas Partners.

The Valley Forge, Pa.-based retail propane marketer plans to use the proceeds to finance the tender offers for its 6¼% senior notes due 2019, 6¾% senior notes due 2020 and its 6½% senior notes due 2021, with any remaining proceeds to be used for general business purposes.

© 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.