Sunoco Logistics Prices Senior Notes Worth $550 Million
Zacks Investment Research | Jul 07, 2016 10:00PM ET
Sunoco Logistics Partners Operations L.P., an affiliate of energy pipelines and terminals operator Sunoco Logistics Partners L.P. (NYSE:SXL) , announced the pricing of senior unsecured notes worth $550 million for a public offering. These notes have received a 'BBB’ rating from Fitch Ratings.
The issue price of these notes, due in 2026, will be 99.696% of the principal amount. Also, these will carry an interest rate of 3.90% per annum. The offering is scheduled to settle on Jul 12, 2016.
The partnership intends to use the proceeds from the aforesaid offering to pay for borrowings under its $2.50 billion revolving credit facility. The remainder will be used for general partnership purposes, which may include expansion capital expenditures. The partnership has estimated proceeds of approximately $544 million.
In May 2016, the partnership posted better-than-expected first-quarter 2016 results. Earnings per unit of 24 cents beat the Zacks Consensus Estimate of 21 cents. Strong performance by the Crude Oil Pipelines, Terminal Facilities and Product Pipeline segments led to the outperformance.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.