ONEOK, Inc. says it has completed its previously announced underwritten public offering of nearly $5.2 billion in notes to finance its merger with Magellan Midstream Partners, L.P. of Tulsa.
The sale included $750 million of 5.550% notes due 2026, $750 million of 5.650% notes due 2028, $500 million of its 5.800% notes due 2030, $1.50 billion of its 6.050% notes due 2033 and $1.75 billion of 6.625% notes due 2053.
ONEOK said it will use the net proceeds after deducting underwriting discounts and estimated offering expenses to fund the cash consideration of the Magellan merger. The merger was announced in May and the notes are guaranteed by ONEOK Partners, L.P. and ONEOK Partners Intermediate Limited Partnership.
Magellan unitholders will vote September 21, 2023 at 10 a.m. Central time to approve the transaction. It will be virtual voting by unitholders of record at the close of business July 24.