8-KMaterial AgreementsExhibits & Filings

ONEOK INC /NEW/ 8-K Report, Material Agreement (Aug 4, 2023)

Filed August 4, 2023For Securities:OKE

Summary

ONEOK Inc. (OKE) has entered into a new Equity Distribution Agreement on August 3, 2023, establishing an at-the-market (ATM) equity program with BofA Securities, Inc. This agreement allows OKE to offer and sell up to $1 billion of its common stock over time through various sales channels, including ordinary brokers' transactions on the NYSE, block transactions, or directly to the manager as principal. The reestablishment of this ATM program is part of a routine, recurring process to update its shelf registration statements, with the prior program having expired. The company also has the option to enter into separate forward sale agreements with Bank of America, N.A. The net proceeds from any stock sales or forward sale settlements are intended for general corporate purposes. These purposes may include repaying or refinancing outstanding debt, funding working capital, supporting capital expenditures, or financing acquisitions. Investors should note that OKE is not obligated to sell any shares and can suspend sales at any time, providing flexibility in managing its capital structure and funding needs.

Key Highlights

  • 1ONEOK Inc. (OKE) has entered into an Equity Distribution Agreement with BofA Securities, Inc.
  • 2The company can issue and sell up to $1 billion of its common stock through this new at-the-market (ATM) program.
  • 3Sales can be made via brokers on the NYSE, block transactions, or directly to the manager as principal.
  • 4The agreement allows for potential forward sale agreements with Bank of America, N.A.
  • 5Proceeds are intended for general corporate purposes, including debt repayment, working capital, capital expenditures, and acquisitions.
  • 6OKE is not obligated to sell any shares and can suspend the program at any time.
  • 7This ATM program replaces a prior program that expired as part of a routine update of shelf registration statements.

Frequently Asked Questions

The new Equity Distribution Agreement establishes an at-the-market (ATM) equity program that allows ONEOK Inc. to offer and sell up to $1 billion of its common stock over time. This is a routine process to update its shelf registration statements and provides flexibility for the company to raise capital for general corporate purposes, such as debt repayment, working capital, or strategic investments.

Shares can be sold through various methods including ordinary brokers' transactions on the New York Stock Exchange, block transactions, directly to the manager as principal, or through other trading markets. The company has the flexibility to choose the most advantageous method at the time of sale.

The net proceeds from any stock sales are intended for general corporate purposes. This may include repaying or refinancing outstanding indebtedness, funding working capital needs, financing capital expenditures, or supporting potential acquisitions.

No, ONEOK Inc. is not obligated to offer or sell any shares of its common stock under this agreement. The company can also suspend offers and sales at any time, providing it with significant flexibility in managing its capital raising activities.