Published on 12/10/2019 in the Prospect News High Yield Daily.
New Issue: Enviva Partners prices $50 million tap of 6½% notes due 2026 at 103.5 to yield 5.496%
By Paul A. Harris
Portland, Ore., Dec. 10 – Enviva Partners, LP and Enviva Partners Finance Corp. priced a $50 million add-on to their 6½% senior notes due Jan. 15, 2026 (B1/B+/BB-) at 103.5 on Tuesday, according to a market source.
The deal came at the rich end of the 103.25 to 103.5 price talk. The execution renders a yield to worst of 5.496%.
Lead left bookrunner Barclays will bill and deliver. Joint bookrunners were BMO Capital Markets Corp., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, HSBC Securities (USA) Inc., J.P. Morgan Securities LLC and RBC Capital Markets Corp.
The Bethesda, Md.-based master limited partnership, which manufactures wood pellets, plans to use the proceeds to repay balances on its revolving credit facility.
| Issuers: | Enviva Partners, LP and Enviva Partners Finance Corp.
|
| Amount: | $50 million
|
| Maturity: | Jan. 15, 2026
|
| Security description: | Add-on 6½% senior notes due Jan. 15, 2026
|
| Left lead bookrunner: | Barclays (bill and deliver)
|
| Joint bookrunners: | BMO Capital Markets Corp., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, HSBC Securities (USA) Inc., J.P. Morgan Securities LLC and RBC Capital Markets Corp.
|
| Co-manager: | Riverstone
|
| Coupon: | 6½%
|
| Price: | 103.5
|
| Yield to worst: | 5.496%
|
| Spread: | 374 bps
|
| First call: | Nov. 15, 2021 at 103.25
|
| Trade date: | Dec. 10
|
| Settlement date: | Dec. 12 with accrued interest
|
| Ratings: | Moody's: B1
|
| S&P: B+
|
| Fitch: BB-
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 103.25 to 103.5
|
| Marketing: | Quick to market
|
| Original issue: | $550 million priced in November 2019
|
| Fungibility: | Rule 144A add-on notes to become immediately fungible with original notes, Regulation S add-on notes to become fungible following 40-day grace period
|
| Total issue size: | $600 million
|
© 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.
