Summary
ONEOK, Inc. (OKE) filed an 8-K on July 13, 2017, to report on a significant debt offering. The company, along with its subsidiaries ONEOK Partners, L.P. and ONEOK Partners Intermediate Limited Partnership, successfully completed a public offering of $1.2 billion in aggregate principal amount of new notes. This offering consisted of $500 million in 4.00% notes due 2027 and $700 million in 4.95% notes due 2047. The net proceeds from this offering, estimated at approximately $1.18 billion after expenses, are intended for general corporate purposes. This may include repaying existing debt and funding future capital expenditures, indicating strategic financial management by ONEOK to strengthen its balance sheet and support growth initiatives.
Key Highlights
- 1ONEOK completed a public offering of $1.2 billion in aggregate principal amount of new notes on July 13, 2017.
- 2The offering was comprised of $500 million of 4.00% notes due 2027 and $700 million of 4.95% notes due 2047.
- 3Net proceeds from the offering are approximately $1.18 billion after deducting underwriting discounts and estimated expenses.
- 4Proceeds are earmarked for general corporate purposes, potentially including debt repayment and capital expenditures.
- 5The issuance involved an Underwriting Agreement with Citigroup Global Markets Inc., Barclays Capital Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, and Mizuho Securities USA LLC as representatives.
- 6The terms of the new notes are governed by the company's existing Indenture, as supplemented by Fourth and Fifth Supplemental Indentures.
- 7The filing incorporates by reference related exhibits, including the Underwriting Agreement, Supplemental Indentures, note forms, legal opinions, and guarantees.