8-KOther EventsExhibits & Filings

ENTERPRISE PRODUCTS PARTNERS L.P. 8-K Report, Corporate Update (Jun 26, 2019)

Filed June 26, 2019For Securities:EPDEPDU

Summary

Enterprise Products Partners L.P. (EPD) announced the public offering of $2.5 billion in aggregate principal amount of senior notes through its subsidiary, Enterprise Products Operating LLC (EPO). The offering comprises $1.25 billion of 3.125% senior notes due 2029 and $1.25 billion of 4.200% senior notes due 2050. The notes are guaranteed by the Partnership on an unsecured and unsubordinated basis. The closing of this issuance is expected on July 8, 2019. This debt issuance is primarily intended to refinance existing debt, including the repayment of commercial paper and $800 million of Senior Notes LL maturing in October 2019. A portion of the proceeds will also be allocated to general corporate purposes, including organic growth capital expenditures. The company has also filed a corresponding press release detailing this offering.

Key Highlights

  • 1EPD is issuing $2.5 billion in new senior notes through its subsidiary EPO.
  • 2The offering includes two tranches: $1.25 billion of 3.125% notes due 2029 and $1.25 billion of 4.200% notes due 2050.
  • 3The notes are guaranteed by Enterprise Products Partners L.P.
  • 4The primary use of proceeds is to repay existing debt, including $800 million of notes maturing in October 2019.
  • 5Net proceeds will also be used for general corporate purposes and organic growth capital expenditures.
  • 6The closing of the offering is scheduled for July 8, 2019.

Frequently Asked Questions

The primary purpose of the offering is to refinance existing debt, specifically to repay amounts outstanding under its commercial paper program and to pay off $800 million of Senior Notes LL due in October 2019. Additionally, a portion of the proceeds will be used for general corporate purposes, including organic growth capital expenditures.

Enterprise Products Operating LLC (EPO) is issuing two series of senior notes: $1.25 billion of 3.125% senior notes due 2029 and $1.25 billion of 4.200% senior notes due 2050. These notes are guaranteed by Enterprise Products Partners L.P.

The offering of the notes was registered under the Securities Act of 1933, and the closing of the issuance and sale of the securities is scheduled for July 8, 2019.

Yes, the filing notes that affiliates of certain underwriters may hold EPO's commercial paper notes to be repaid with the proceeds from this offering. Therefore, these affiliates may receive a substantial portion of the net proceeds. The filing also states that underwriters and their affiliates have provided and may continue to provide various financial advisory and investment banking services for which they receive customary fees.