|ENTERPRISE PRODUCTS PARTNERS L P filed this Form 8-K on 02/07/2018|
ENTERPRISE PRICES $2.7 BILLION AGGREGATE PRINCIPAL AMOUNT OF SENIOR
NOTES AND JUNIOR SUBORDINATED NOTES
Houston, Texas (February 1, 2018) Enterprise Products Partners L.P. (NYSE: EPD) (Enterprise) today announced that its operating subsidiary, Enterprise Products Operating LLC (EPO), has priced public offerings of $2.7 billion aggregate principal amount of notes comprised of (i) $750 million principal amount of senior notes due February 15, 2021 (Senior Notes TT), (ii) $1,250 million principal amount of senior notes due February 15, 2048 (Senior Notes UU), and (iii) $700 million principal amount of junior subordinated notes due February 15, 2078 (Junior Subordinated Notes F).
We expect to use the net proceeds of these offerings for the repayment of debt, including the repayment of amounts outstanding under our commercial paper program and the repurchase or redemption of all of the $682.7 million outstanding aggregate principal amount of EPOs 7.034% Fixed/Floating Rate Junior Subordinated Notes due 2068, and for general company purposes.
Senior Notes TT will be issued at 99.946% of their principal amount and will have a fixed-rate interest coupon of 2.800%. Senior Notes UU will be issued at 99.865% of their principal amount and will have a fixed-rate interest coupon of 4.250%. Enterprise Products Partners L.P. will guarantee the senior notes through an unconditional guarantee on an unsecured and unsubordinated basis.
The Junior Subordinated Notes F will be redeemable at EPOs option, in whole or in part, on one or more occasions, on or after February 15, 2028 at 100% of their principal amount, plus any accrued and unpaid interest thereon, and will bear interest at a fixed rate of 5.375% per year up to, but not including, February 15, 2028. From, and including February 15, 2028, the Junior Subordinated Notes F will bear interest at a floating rate based on a three-month LIBOR rate plus 257 basis points (2.57%), reset quarterly. Enterprise Products Partners L.P. will guarantee the Junior Subordinated Notes F through an unconditional guarantee on an unsecured and subordinated basis.
Settlement of each of the offerings is expected to occur on February 15, 2018.