By Aleesia Forni
Virginia Beach, Va., April 24 - Regency Energy Partners LP and Regency Energy Finance Corp. priced a $600 million issue of 4½% senior notes (B1/BB) due Nov. 1, 2023 at par, or a spread of 280 basis points over Treasuries, according to a market source.
The notes priced at the tight end of talk, which was set at 4½% to 4¾%.
The Rule 144A and Regulation S with registration rights notes will be non-callable.
Proceeds will be used to fund the acquisition of Southern Union Gathering Co.
J.P. Morgan Securities LLC, BofA Merrill Lynch, Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, RBS Securities Inc., UBS Securities LLC, SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC were the joint bookrunners.
Dallas-based Regency Energy is involved in the gathering, processing and transportation of natural gas and the transportation and storage of natural gas liquids.
| Issuers: | Regency Energy Partners LP, Regency Energy Finance Corp.
|
| Amount: | $600 million
|
| Maturity: | Nov. 1, 2023
|
| Securities: | Senior notes
|
| Bookrunners: | J.P. Morgan Securities LLC, BofA Merrill Lynch, Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, RBS Securities Inc., UBS Securities LLC, SunTrust Robinson Humphrey Inc., Wells Fargo Securities LLC
|
| Coupon: | 4½%
|
| Price: | Par
|
| Yield: | 4½%
|
| Spread: | Treasuries plus 280 bps
|
| Make-whole call: | Treasuries plus 50 bps until Aug. 1, 2023
|
| Change-of-control put: | 101%
|
| Trade date: | April 24
|
| Settlement date: | April 30
|
| Ratings: | Moody's: B1
|
| Standard & Poor's: BB
|
| Distribution: | Rule 144A and Regulation S with registration rights
|
| Price talk: | 4½% to 4¾%
|
© 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.
