NGL Energy Partners LP in Tulsa announced Thursday it was offering more than $2 billion in senior secured notes.
The notes are due 2026 and NGL said it expected to use the net proceeds together with borrowings under a new $500 million asset-based revolving credit facility to repay all outstanding borrowings and terminate the company’s existing revolving credit facility.
The announcement said it will also terminate NGLs $250 million term credit agreement and pay fees and expenses.
The note offering is through NGL’s subsidiaries NGL Energy Operating LLC and NGL Energy Finance Corp.
Earlier in the week, the company announced an adjusted EBITDA guidance for Fiscal 2022 with a range of between $570 million and $600 million. It estimated capital expenditures would be between $100 million and $125 million for the year.
The company also announced this week the distribution of $15.6 million in quarterly distributions to holders for the quarter ended Dec. 31, 2020.