Plains All American Pipeline offers fixed-to-floating cumulative redeemable preferred units

By Stephanie N. Rotondo

Seattle, Oct. 2 – Plains All American Pipeline LP is offering series B fixed-to-floating rate cumulative redeemable preferred units, the company said in a prospectus filed with the Securities and Exchange Commission on Monday.

J.P. Morgan Securities LLC, BofA Merrill Lynch, Morgan Stanley & Co. LLC and Wells Fargo Securities LLC are the joint bookrunners.

The distribution rate will be fixed and payable semiannually through Nov. 15, 2022. At that time, the rate will float at Libor plus a spread and will be paid on a quarterly basis.

The units become redeemable on Nov. 15, 2022 at par plus accrued distributions.

The issue can also be redeemed upon a rating agency event.

The company does not intend to list the units on any exchange.

Proceeds will be used to repay amounts outstanding under the company’s credit facilities and commercial paper program, as well as for general partnership purposes.

Plains All American is a Houston-based midstream oil and gas company.

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