Sunoco LP Prices Upsized Private Offering Of $600 Mln Of Senior Notes

(RTTNews) - Sunoco LP (SUN) announced that it has priced upsized private offering of $600 million of 5.5% senior notes due 2020. The sale of the notes is expected to settle on July 20, 2015. The company estimates offering net proceeds to be $592.5 million.

Additionally, Sunoco LP priced its registered underwritten public offering of 5.5 mln common units representing limited partner interests in the Partnership at $40.10 per common unit. The offering is expected to close on or about July 21, 2015. The Partnership granted the underwriters a 30-day option to purchase up to 825,000 additional common units.

The Partnership intends to use borrowings under its revolving credit facility, along with the net proceeds from the concurrent private placement of $600 million of senior notes due 2020, to fund the cash consideration in its pending acquisition of Susser Holdings from Energy Transfer Partners, L.P.

Morgan Stanley, BofA Merrill Lynch, UBS Investment Bank, Wells Fargo Securities, Baird, Citigroup, Credit Suisse, Deutsche Bank Securities, Goldman, Sachs & Co., Jefferies, J.P. Morgan, Raymond James and RBC Capital Markets are acting as joint book-running managers of the offering. Ladenburg Thalmann is acting as co-manager of the offering.