Deal Description: On December 15, 2020, Tallgrass Energy Partners, LP (“TEP”) announced that it, along with Tallgrass Energy Finance Corp., a wholly-owned subsidiary of TEP, priced an upsized offering (the “Notes Offering”) of $750 million in aggregate principal amount of 6.000% senior unsecured notes due 2030 at an offering price equal to 100% of par.
The Notes Offering is expected to close December 22, 2020, subject to satisfaction of customary closing conditions.
TEP intends to use the net proceeds of the Notes Offering, together with borrowings under its existing senior secured revolving credit facility, to fund a concurrent cash tender offer (the “Tender Offer”) to purchase any and all of its outstanding 4.75% Senior Notes due 2023 (the 2023 Notes”), to redeem the 2023 Notes that remain outstanding following the consummation of the Tender Offer, and to redeem $250 million principal amount of its outstanding 5.50% Senior Notes due 2024. The Tender Offer is being made pursuant to an Offer to Purchase dated December 15, 2020.
Baker Botts L.L.P. represented TEP in the Notes Offering and the Tender Offer.
Baker Botts Lawyers/Office Involved:
Corporate: Mollie Duckworth (Partner, Austin); Dan Tristan (Partner, Houston); Justin Hoffman (Partner, Houston); Allison Lancaster (Associate, Austin); Dillon Sebasco (Associate, Austin); Chad Davis (Senior Associate, New York); Sean Aguirre (Associate, Houston)
Tax: Jon Nelsen (Partner, Austin), Leah Patrick (Senior Associate, Houston)
For more information please see Tallgrass’s news release on the Notes Offering here and the Tender Offer here.
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