8-KRegulation FDOther EventsExhibits & Filings

ENTERPRISE PRODUCTS PARTNERS L.P. 8-K Report, Regulation FD Disclosure (Nov 8, 2013)

Filed November 8, 2013For Securities:EPDEPDU

Summary

Enterprise Products Partners L.P. (EPD) filed an 8-K on November 7, 2013, reporting on a public offering of common units that priced on November 5, 2013. The offering involved 8,000,000 common units with an additional 1,200,000 units available to cover over-allotments, all of which were exercised by the underwriters. The closing of this offering was scheduled for November 8, 2013. The partnership intends to use the net proceeds from this offering for general partnership purposes. This includes potentially repaying outstanding debt under various credit facilities and commercial paper programs, funding working capital needs, supporting capital expenditures (both for the remainder of 2013 and into 2014), and for potential acquisitions. Notably, affiliates of some underwriters are lenders or may hold commercial paper, meaning they are expected to receive a significant portion of the offering proceeds.

Key Highlights

  • 1EPD successfully priced a public offering of 8,000,000 common units on November 5, 2013.
  • 2Underwriters fully exercised their over-allotment option for an additional 1,200,000 common units.
  • 3The closing of the offering was scheduled for November 8, 2013.
  • 4Proceeds will be used for general partnership purposes, including debt repayment, working capital, and capital expenditures.
  • 5A portion of the proceeds may be used for acquisitions.
  • 6Affiliates of some underwriters are lenders/investors in EPD's debt instruments, indicating they will benefit from the offering proceeds.
  • 7The offering was registered under Form S-3, indicating EPD's eligibility for streamlined registration.

Frequently Asked Questions

This 8-K filing was primarily to disclose the pricing of a public offering of Enterprise Products Partners L.P.'s common units and the subsequent full exercise of the underwriters' over-allotment option. It also detailed the intended use of the net proceeds from this offering.

The filing doesn't state the exact amount raised in dollars, but it details the number of units offered. EPD offered 8,000,000 common units, plus an additional 1,200,000 common units to cover the over-allotment option, all of which were exercised. The actual proceeds would depend on the offering price per unit, which was announced via press release on November 5, 2013, but not detailed within this 8-K itself.

EPD plans to use the net proceeds for general partnership purposes. This includes repaying debt (such as amounts outstanding under credit facilities or commercial paper programs), funding working capital needs, financing capital expenditures (including for 2013 and 2014 growth projects), and for potential acquisitions.

Yes, the filing notes that affiliates of some of the underwriters are lenders under EPD's credit facilities or may hold commercial paper. This means these affiliates are expected to receive a substantial portion of the offering proceeds through debt repayment. The filing also mentions that these underwriters and their affiliates have provided and may continue to provide investment banking, commercial banking, and advisory services to EPD for customary fees.