HF Sinclair Announces Cash Tender Offer for up to $900.0 Million Aggregate Purchase Price of Debt Securities
HF Sinclair (NYSE: DINO) has announced a cash tender offer to purchase up to $900.0 million aggregate purchase price of outstanding notes. The tender offer includes three series of notes: 6.375% Senior Notes due 2027 (with a $150 million tender cap) and two series of 5.875% Senior Notes due 2026.
The tender offer expires on February 7, 2025, with an Early Tender Deadline of January 23, 2025. Holders who tender before the Early Tender Deadline will receive the Total Tender Offer Consideration, including a $30 per $1,000 Early Tender Premium. The Early Settlement Date is expected to be January 28, 2025.
The tender offer is subject to conditions, including the receipt of sufficient proceeds from a concurrent public offering of senior debt securities. Notes will be purchased according to acceptance priority levels, with higher priority levels being accepted first, subject to the Maximum Aggregate Purchase Price and tender caps.
HF Sinclair (NYSE: DINO) ha annunciato un'offerta pubblica di acquisto in contante per l'acquisto fino a un prezzo di acquisto aggregato di 900,0 milioni di dollari di note in circolazione. L'offerta include tre serie di note: Note Senior al 6,375% in scadenza nel 2027 (con un limite di offerta di 150 milioni di dollari) e due serie di Note Senior al 5,875% in scadenza nel 2026.
L'offerta scade il 7 febbraio 2025, con una scadenza anticipata per l'offerta del 23 gennaio 2025. I possessori che partecipano prima della scadenza anticipata riceveranno il Considerazione Totale dell'Offerta, inclusi 30 dollari per ogni 1.000 dollari di premio per l'offerta anticipata. La data di liquidazione anticipata è prevista per il 28 gennaio 2025.
L'offerta è soggetta a condizioni, tra cui la ricezione di proventi sufficienti da un'offerta pubblica contemporanea di titoli di debito senior. Le note saranno acquistate secondo i livelli di priorità di accettazione, con i livelli di priorità più elevati accettati per primi, soggetti al Prezzo di Acquisto Aggregato Massimo e ai limiti di offerta.
HF Sinclair (NYSE: DINO) ha anunciado una oferta pública de compra en efectivo para adquirir hasta un precio de compra agregado de 900,0 millones de dólares de notas en circulación. La oferta incluye tres series de notas: Notas Senior al 6,375% que vencen en 2027 (con un límite de oferta de 150 millones de dólares) y dos series de Notas Senior al 5,875% que vencen en 2026.
La oferta expira el 7 de febrero de 2025, con una fecha límite de oferta anticipada el 23 de enero de 2025. Los tenedores que oferten antes de la fecha límite de oferta anticipada recibirán la Consideración Total de la Oferta, incluido un premio de oferta anticipada de 30 dólares por cada 1,000 dólares. Se espera que la fecha de liquidación anticipada sea el 28 de enero de 2025.
La oferta está sujeta a condiciones, incluida la recepción de ingresos suficientes de una oferta pública simultánea de valores de deuda senior. Las notas serán compradas de acuerdo con los niveles de prioridad de aceptación, con los niveles de prioridad más altos siendo aceptados primero, sujetos al Precio de Compra Agregado Máximo y a los límites de oferta.
HF Sinclair (NYSE: DINO)는 발행된 노트의 총 구매 가격이 9억 달러에 이를 수 있는 현금 청구 제안을 발표했습니다. 이 청구 제안은 세 가지 시리즈의 노트를 포함합니다: 2027년 만기 6.375% 시니어 노트(제안 한도 1억 5천만 달러)와 2026년 만기 5.875% 시니어 노트 두 시리즈입니다.
청구 제안의 마감일은 2025년 2월 7일이며, 조기 청구 마감일은 2025년 1월 23일입니다. 조기 청구 마감일 이전에 청구하는 소지자는 1,000달러당 30달러의 조기 청구 프리미엄을 포함한 총 청구 제안 보상을 받을 수 있습니다. 조기 결제일은 2025년 1월 28일로 예상됩니다.
청구 제안은 조건에 따라 달라지며, 여기에는 동시 진행되는 시니어 채무 증권의 공모에서 충분한 수익을 받는 것이 포함됩니다. 노트는 수용 우선 순위 수준에 따라 구매되며, 더 높은 우선 순위 수준이 먼저 수용되며, 최대 총 구매 가격 및 청구 한도에 따라 다릅니다.
HF Sinclair (NYSE: DINO) a annoncé une offre de rachat en numéraire visant à acquérir jusqu'à un prix d'achat total de 900,0 millions de dollars d'obligations en circulation. L'offre comprend trois séries d'obligations : Obligations Senior à 6,375 % arrivant à maturité en 2027 (avec un plafond d'offre de 150 millions de dollars) et deux séries d'Obligations Senior à 5,875 % arrivant à maturité en 2026.
L'offre expire le 7 février 2025, avec une date limite de dépôt anticipé le 23 janvier 2025. Les titulaires qui déposent avant la date limite de dépôt anticipé recevront la Considération Totale de l'Offre, y compris une prime de dépôt anticipé de 30 dollars pour 1 000 dollars. La date de règlement anticipé est prévue pour le 28 janvier 2025.
L'offre est soumise à des conditions, y compris la réception de produits suffisants d'une émission publique concomitante de titres de créance senior. Les obligations seront achetées selon les niveaux de priorité d'acceptation, les niveaux de priorité plus élevés étant acceptés en premier, sous réserve du Prix d'Achat Maximum Agrégé et des plafonds d'offre.
HF Sinclair (NYSE: DINO) hat ein Barangebot zur Erwerbung von bis zu 900,0 Millionen Dollar aggregiertem Kaufpreis ausstehender Anleihen angekündigt. Das Angebot umfasst drei Serien von Anleihen: 6,375% Senior-Anleihen mit Fälligkeit 2027 (mit einer Angebotsobergrenze von 150 Millionen Dollar) und zwei Serien von 5,875% Senior-Anleihen mit Fälligkeit 2026.
Das Angebot endet am 7. Februar 2025, mit einer frühen Angebotsschlussfrist am 23. Januar 2025. Inhaber, die vor der frühen Frist ein Angebot machen, erhalten die Gesamte Angebotsüberlegung, einschließlich eines Frühangebotprämie von 30 Dollar pro 1.000 Dollar. Der frühzeitige Abreisetermin wird voraussichtlich der 28. Januar 2025 sein.
Das Angebot unterliegt Bedingungen, einschließlich dem Erhalt ausreichender Mittel aus einer zeitgleich stattfindenden öffentlichen Emission von Senior-Schuldverschreibungen. Anleihen werden gemäß den Annahmeprioritätsstufen gekauft, wobei höhere Prioritätsstufen zuerst angenommen werden, vorbehaltlich des maximalen Gesamtverkaufspreises und der Angebotsobergrenzen.
- Initiating $900 million debt repurchase program
- Early tender premium of $30 per $1,000 principal offered to participating holders
- Structured priority system ensures orderly debt reduction
- Conditional on successful completion of new debt offering, indicating potential debt restructuring rather than reduction
- tender cap of $150 million for 2027 Notes may restrict participation
Insights
HF Sinclair's
The tender offer's tiered priority system and early tender premium of
The timing aligns with current market conditions where companies are actively managing their debt portfolios ahead of potential interest rate changes. For investors, this signals proactive financial management and could positively impact the company's credit metrics and overall financial flexibility.
The tender offer's structure reveals HF Sinclair's sophisticated approach to capital markets. By targeting notes with higher coupons and offering a premium for early participation, the company is effectively managing its refinancing risk while potentially achieving cost savings. The concurrent notes offering suggests management's confidence in securing favorable terms in the current market environment.
The multi-tier acceptance priority levels and proration mechanics demonstrate careful consideration of market dynamics and noteholder behavior. This transaction could strengthen DINO's balance sheet and enhance its competitive position in the energy sector, particularly important given the volatile nature of refining margins and energy markets.
Title of Security | CUSIP(1) | Issuer | Aggregate | 2027 Notes (in millions) | Acceptance | Reference | Early | Fixed spread | Bloomberg Reference |
(the "2027 Notes")* | 403949 AK6 U4322C AD5 403949 AP5 | HF Sinclair | 1 |
| 50 bps | FIT3 | |||
403949 AF7 U4322C AB9 403949 AB6 | HF Sinclair | N/A. | 2 |
| 50 bps | FIT4 | |||
436106AA6 | HollyFrontier | N/A. | 3 |
| 50 bps | FIT4 |
________________
(1) | No representation is made as to the correctness or accuracy of the CUSIP numbers listed in this Offer to Purchase or printed on the Notes. They are provided solely for the convenience of Holders of the Notes. |
(2) | The 2027 Notes Tender Cap represents the maximum aggregate principal amount of the 2027 Notes that will be purchased. The Corporation reserves the right, but is under no obligation, to increase, decrease or eliminate the 2027 Notes Tender Cap at any time, including on or after the Price Determination Date (as defined below), subject to applicable law. The amount of Notes purchased in the Tender Offer is subject to the Maximum Aggregate Purchase Price. |
(3) | Subject to the Maximum Aggregate Purchase Price, the 2027 Notes Tender Cap and proration, the principal amount of each Series of Notes that is purchased in the Tender Offer will be determined in accordance with the applicable Acceptance Priority Level (in numerical priority order with 1 being the highest Acceptance Priority Level and 3 being the lowest) specified in this column. |
(4) | Per |
(5) | The Bloomberg Reference Page is provided for convenience only. To the extent any Bloomberg Reference Page changes prior to the Price Determination Date, the Lead Dealer Managers referred to below will quote the applicable Reference Treasury Security from the updated Bloomberg Reference Page. |
* | Denotes a Series of Notes for which the Total Tender Offer Consideration and the Tender Offer consideration will be determined taking into account the par call date or redemption date, instead of the maturity date, of such Notes in accordance with standard market practice. |
The terms and conditions of the Tender Offer are described in an Offer to Purchase dated January 8, 2025 (as it may be amended or supplemented, the "Offer to Purchase"). The Tender Offer is subject to the satisfaction of certain conditions as set forth in the Offer to Purchase, including the receipt of aggregate gross proceeds in an amount sufficient to effect the repurchase of the Notes validly tendered and accepted for purchase pursuant to the Tender Offer on or prior to the Early Settlement Date (as defined below) on terms acceptable to the Corporation from the concurrent public offering of senior debt securities issued by the Corporation (the "Concurrent Notes Offering").
Subject to applicable law, the Corporation may waive any and all of these conditions or extend or terminate the Tender Offer with respect to one or more Series of Notes, increase or decrease the Maximum Aggregate Purchase Price and/or increase, decrease or eliminate the 2027 Notes Tender Cap at any time, including on or after the Price Determination Date. The Tender Offer is not conditioned upon any minimum amount of Notes being tendered. Capitalized terms used in this news release and not defined herein have the meanings given to them in the Offer to Purchase.
The amounts of each Series of Notes that are purchased in the Tender Offer will be determined in accordance with the priorities identified in the column "Acceptance Priority Level" in the table above, and the 2027 Notes Tender Cap (with respect to the 2027 Notes). The Tender Offer will expire at 5:00 p.m.,
The Total Tender Offer Consideration for each
In addition to the applicable Total Tender Offer Consideration or applicable Late Tender Offer Consideration, as the case may be, accrued and unpaid interest up to, but not including, the applicable Settlement Date will be paid in cash on all validly tendered Notes accepted for purchase in the Tender Offer. The purchase price plus accrued and unpaid interest for Notes that are validly tendered and not validly withdrawn before the Early Tender Deadline and accepted for purchase will be paid by the Corporation in same day funds promptly following the Early Tender Deadline (the "Early Settlement Date"). The Corporation expects that the Early Settlement Date will be January 28, 2025, the second business day after the Early Tender Deadline. The purchase price plus accrued and unpaid interest for Notes that are validly tendered after the Early Tender Deadline and before the Expiration Date and accepted for purchase will be paid by the Corporation in same day funds promptly following the Expiration Date (the "Final Settlement Date"). The Corporation expects that the Final Settlement Date will be February 11, 2025, the second business day after the Expiration Date, assuming Notes representing an aggregate purchase price equal to the Maximum Aggregate Purchase Price are not purchased on the Early Settlement Date. No tenders will be valid if submitted after the Expiration Date. If Notes are validly tendered and not validly withdrawn having an aggregate purchase price equal to or greater than the Maximum Aggregate Purchase Price as of the Early Tender Deadline, subject to the 2027 Notes Tender Cap (with respect to the 2027 Notes) and proration, Holders who validly tender Notes after the Early Tender Deadline but on or before the Expiration Date will not have any of their Notes accepted for purchase. Holders of Notes who validly tender their Notes on or before the Early Tender Deadline may not withdraw their Notes after 5:00 p.m.,
Subject to the Maximum Aggregate Purchase Price, the 2027 Notes Tender Cap (with respect to the 2027 Notes) and proration, all Notes validly tendered and not validly withdrawn at or before the Early Tender Deadline having a higher Acceptance Priority Level will be accepted before any validly tendered and not validly withdrawn Notes having a lower Acceptance Priority Level, and all Notes validly tendered after the Early Tender Deadline having a higher Acceptance Priority Level will be accepted before any Notes tendered after the Early Tender Deadline having a lower Acceptance Priority Level. However, if Notes are validly tendered and not validly withdrawn having an aggregate purchase price less than the Maximum Aggregate Purchase Price as of the Early Tender Deadline, Notes validly tendered and not validly withdrawn at or before the Early Tender Deadline will be accepted for purchase in priority to Notes tendered after the Early Tender Deadline, even if such Notes tendered after the Early Tender Deadline have a higher Acceptance Priority Level than Notes validly tendered and not validly withdrawn at or before the Early Tender Deadline. Notes of the Series in the last Acceptance Priority Level accepted for purchase in accordance with the terms and conditions of the Tender Offer may be subject to proration so that the Corporation will only accept for purchase Notes having an aggregate purchase price of up to the Maximum Aggregate Purchase Price.
From time to time, the Corporation may purchase additional Notes in the open market, in privately negotiated transactions, through tender offers or otherwise, or may redeem Notes pursuant to the terms of the applicable indenture governing the applicable Series of Notes. Any future purchases or redemptions may be on the same terms or on terms that are more or less favorable to Holders of Notes than the terms of the Tender Offer. Any future purchases by the Corporation will depend on various factors existing at that time. There can be no assurance as to which, if any, of these alternatives (or combinations thereof) the Corporation may choose to pursue in the future. The effect of any of these actions may directly or indirectly affect the price of any Notes that remain outstanding after the consummation or termination of the Tender Offer.
Notwithstanding any other provision of the Tender Offer, the Corporation's obligation to accept for purchase, and to pay for, Notes validly tendered and not validly withdrawn, if applicable, pursuant to the Tender Offer (up to the Maximum Aggregate Purchase Price, the 2027 Notes Tender Cap (with respect to the 2027 Notes) and subject to proration) is subject to, and conditioned upon, the satisfaction of or, where applicable, its waiver of, certain conditions, including the condition that the Corporation receive aggregate gross proceeds from the Concurrent Notes Offering on or prior to the Early Settlement Date in an amount that is sufficient to effect the repurchase of the Notes validly tendered and accepted for purchase pursuant to the Offer to Purchase, on terms satisfactory to the Corporation in its sole discretion.
BofA Securities and Citigroup are the Lead Dealer Managers for the Tender Offer. D.F. King & Co., Inc. is the Tender Agent and Information Agent. Persons with questions regarding the Tender Offer should contact BofA Securities, Inc. at +1 (888) 292-0070 (toll-free) or +1 (980) 387-5602 (collect) or debt_advisory@bofa.com or Citigroup Global Markets Inc. at +1 (800) 558-3745 (toll free) or +1 (212) 723-6106 or ny.liabilitymanagement@citi.com. Questions regarding the tendering of Notes and requests for copies of the Offer to Purchase and related materials should be directed to D.F. King & Co., Inc. at (212) 269-5550 (for banks and brokers) or (800) 949-2583 (all others, toll-free) or email DINO@dfking.com.
This news release is neither an offer to purchase nor a solicitation of an offer to sell the Notes. The Tender Offer is made only by the Offer to Purchase and the information in this news release is qualified by reference to the Offer to Purchase dated January 8, 2025. There is no separate letter of transmittal in connection with the Offer to Purchase. None of the Corporation, the Corporation's Board of Directors, the Lead Dealer Managers, the Tender Agent and Information Agent or the trustees with respect to any Notes is making any recommendation as to whether Holders should tender any Notes in response to the Tender Offer, and neither the Corporation nor any such other person has authorized any person to make any such recommendation. Holders must make their own decision as to whether to tender any of their Notes, and, if so, the principal amount of Notes to tender.
About HF Sinclair Corporation:
HF Sinclair Corporation, headquartered in
FOR FURTHER INFORMATION, Contact:
Craig Biery, Vice President, Investor Relations
HF Sinclair Corporation
214-954-6510
Cautionary Statement Regarding Forward-Looking Statements:
The following is a "safe harbor" statement under the Private Securities Litigation Reform Act of 1995: The statements in this press release relating to matters that are not historical facts, including those regarding the Concurrent Notes Offering and the use of proceeds therefrom, including the Tender Offer and the timing and outcome thereof, are "forward-looking statements" that involve certain risks and uncertainties that could cause actual outcomes and results to materially differ from what is expressed, implied or forecast in such statements. Any differences could be caused by a number of factors, including, but not limited to, the ability to complete the offering, general market conditions and other financial, operational and legal risks and uncertainties detailed from time to time in the Corporation's SEC filings. All forward-looking statements included in this press release are expressly qualified in their entirety by the foregoing cautionary statements. The forward-looking statements speak only as of the date made and, other than as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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SOURCE HF Sinclair Corporation
FAQ
What is the maximum purchase amount in HF Sinclair's (DINO) 2025 tender offer?
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When is the Early Settlement Date for DINO's 2025 tender offer?
