Magellan Midstream Offers $500 million in Senior Notes

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TULSA, Okla., Sept. 6, 2016 /PRNewswire/ — Magellan Midstream Partners, L.P. (NYSE: MMP) announced today that it has priced $500 million of its 4.25% senior notes due 2046. The notes were priced at 98.762% of par to yield 4.324% to maturity. The partnership intends to use the net proceeds from this offering of approximately $488.7 million, after deducting underwriting discounts and estimated offering expenses, to repay its 5.65% senior notes when due in Oct. 2016 and to repay borrowings outstanding under its commercial paper program. Any remaining proceeds may be used for general partnership purposes, which may include capital expenditures.

The offering is expected to close on Sept. 13, 2016 and is subject to customary closing conditions. J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Mizuho Securities USA Inc. and RBC Capital Markets, LLC are joint book-running managers for the debt offering, with Barclays Capital Inc., PNC Capital Markets LLC, SMBC Nikko Securities America, Inc., SunTrust Robinson Humphrey, Inc., U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC acting as co-managers.

The offering may be made only by means of a prospectus supplement and accompanying base prospectus. Copies of these documents may be obtained from:

  • J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179, Attention: Investment Grade Syndicate Desk, 3rd Floor, phone: (212) 834-4533;
  • Citigroup Global Markets Inc. c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, phone: (800) 831-9146;
  • Mizuho Securities USA Inc., Attention: Debt Capital Markets, 320 Park Avenue, 12th Floor, New York, NY 10022, phone: (866) 271-7403; and
  • RBC Capital Markets, LLC, Attention: DCM Transaction Management, 200 Vesey Street, New York, NY 10281, phone: (866) 375-6829.
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