Targa Resources Partners to pay down revolver, may take out some notes

By Angela McDaniels

Tacoma, Wash., Sept. 9 – Targa Resources Partners LP plans to reduce borrowings under its senior secured revolving credit facility and may redeem or repurchase some of its outstanding notes, according to a company news release.

The company priced $600 million of 6¾% senior notes due 2024 at par and will use the proceeds to make the borrowing reduction. Any remaining proceeds will be used for general partnership purposes, which may include repaying other debt, redeeming or repurchasing notes, working capital and funding capital expenditures and acquisitions.

The company owed $878 million under the revolver as of June 30, according to its 10-Q report for the second quarter filed with the Securities and Exchange Commission.

The new notes are expected to settle Sept. 14.

Targa is a Houston-based midstream energy company.

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