Published on 6/20/2016 in the Prospect News High Yield Daily.
New Issue: AmeriGas Partners sells $1.35 billion eight-, 10-year notes
By Paul A. Harris
Portland, Ore., June 20 – AmeriGas Partners, LP priced $1.35 billion of senior notes (Ba3//BB) in two bullet tranches on Monday, according to market sources.
The quick-to-market transaction included $675 million of eight-year notes, which priced at par to yield 5 5/8%. The yield printed in the middle of the 5½% to 5¾% yield talk. Early guidance was 5¾%.
In addition AmeriGas priced $675 million of 10-year notes at par to yield 5 7/8%. The yield printed in the middle of the 5¾% to 6% yield talk. Initial guidance was 6%.
BofA Merrill Lynch was the left bookrunner. Citigroup Global Markets Inc., J.P. Morgan Securities LLC and Wells Fargo Securities LLC were the joint bookrunners.
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.
| Issuers: | AmeriGas Partners, LP and AmeriGas Finance Corp.
|
| Amount: | $1.35 billion
|
| Securities: | Senior notes
|
| Left bookrunner: | BofA Merrill Lynch
|
| Joint bookrunners: | Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Wells Fargo Securities LLC
|
| Senior co-managers: | Citizens Capital Markets Inc., PNC Capital Markets LLC
|
| Co-managers: | BB&T Capital Markets, a division of BB&T Securities, BNY Mellon Capital Markets LLC, Santander Investment Securities Inc., TD Securities (USA) LLC
|
| Trade date: | June 20
|
| Settlement date: | June 27
|
| Ratings: | Moody's: Ba3
|
| Fitch: BB
|
| Distribution: | SEC registered
|
| Marketing: | Quick to market
|
|
|
| Eight-year notes
|
| Amount: | $675 million
|
| Maturity: | May 20, 2024
|
| Coupon: | 5 5/8%
|
| Price: | Par
|
| Yield: | 5 5/8%
|
| Spread: | 409 bps
|
| Call: | Par call two months prior to maturity, otherwise non-callable
|
| Price talk: | 5½% to 5¾%
|
|
|
| 10-year notes
|
| Amount: | $675 million
|
| Maturity: | May 20, 2026
|
| Coupon: | 5 7/8%
|
| Price: | Par
|
| Yield: | 5 7/8%
|
| Spread: | 420 bps
|
| Call: | Par call three month prior to maturity
|
| Price talk: | 5¾% to 6%
|
© 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.
