Delek Logistics Partners, LP Announces Proposed Offering of $100 Million of Additional 8.625% Senior Notes Due 2029
Delek Logistics Partners, LP (NYSE: DKL) has announced a proposed offering of $100 million in additional 8.625% senior notes due 2029. These Additional Notes will be issued under the same indenture as the existing $850 million in aggregate principal amount of 8.625% senior notes due 2029. The offering is subject to market conditions and will be made to eligible purchasers in a private placement.
The company intends to use the net proceeds from this offering to repay a portion of the outstanding borrowings under its revolving credit facility. The Additional Notes will only be offered to qualified institutional buyers and non-U.S. persons outside the United States, in compliance with Rule 144A and Regulation S under the Securities Act, respectively.
Delek Logistics Partners, LP (NYSE: DKL) ha annunciato un'offerta proposta di 100 milioni di dollari in ulteriori note senior dell'8.625% con scadenza nel 2029. Queste Ulteriori Note saranno emesse sotto lo stesso indenture delle 850 milioni di dollari esistenti in importo principale totale di note senior dell'8.625% con scadenza nel 2029. L'offerta è soggetta a condizioni di mercato e sarà rivolta a acquirenti idonei in un collocamento privato.
La società intende utilizzare i proventi netti di questa offerta per rimborsare una parte dei prestiti in essere sotto la sua linea di credito rotativa. Le Ulteriori Note saranno offerte solo a compratori istituzionali qualificati e a persone non statunitensi al di fuori degli Stati Uniti, in conformità con la Regola 144A e il Regolamento S ai sensi del Securities Act.
Delek Logistics Partners, LP (NYSE: DKL) ha anunciado una oferta propuesta de $100 millones en notas senior adicionales del 8.625% que vencen en 2029. Estas Notas Adicionales se emitirán bajo el mismo contrato que las notas senior existentes de $850 millones en monto principal agregado con vencimiento en 2029. La oferta está sujeta a condiciones del mercado y se realizará a compradores elegibles en una colocación privada.
La compañía tiene la intención de utilizar los ingresos netos de esta oferta para repagar una parte de los préstamos pendientes bajo su línea de crédito rotativa. Las Notas Adicionales solo se ofrecerán a compradores institucionales calificados y a personas no estadounidenses fuera de los Estados Unidos, cumpliendo así con la Regla 144A y el Reglamento S bajo la Ley de Valores.
Delek Logistics Partners, LP (NYSE: DKL)는 2029년 만기 8.625%의 추가 시니어 노트 1억 달러 발행을 제안한다고 발표했습니다. 이러한 추가 노트는 기존의 8.625% 시니어 노트 총액 8억 5천만 달러와 동일한 계약 조건에 따라 발행될 것입니다. 이 제공은 시장 조건에 따라 달라지며, 개인 거래로 적격 구매자에게 제공됩니다.
회사는 이 제공으로 얻은 순수익을 사용하여 회전 신용 시설에 대한 미상환 차입의 일부를 상환할 계획입니다. 추가 노트는 자격을 갖춘 기관 투자자 및 미국 외의 비미국인에게만 제공되며, 각각 증권법에 따른 144A 조항 및 S 규정을 준수합니다.
Delek Logistics Partners, LP (NYSE: DKL) a annoncé une offre proposée de 100 millions de dollars en notes senior additionnelles de 8,625% échéant en 2029. Ces Notes Additionnelles seront émises sous le même contrat que les 850 millions de dollars existants du montant principal total des notes senior de 8,625% échéant en 2029. L'offre est soumise aux conditions du marché et sera faite à des acheteurs éligibles lors d'un placement privé.
La société prévoit d'utiliser les produits nets de cette offre pour rembourser une partie des emprunts en cours dans le cadre de sa ligne de crédit renouvelable. Les Notes Additionnelles ne seront offertes qu'aux acheteurs institutionnels qualifiés et aux personnes non américaines en dehors des États-Unis, conformément à la Règle 144A et au Règlement S selon la Loi sur les valeurs mobilières.
Delek Logistics Partners, LP (NYSE: DKL) hat ein vorgeschlagenes Angebot von 100 Millionen Dollar an zusätzlichen 8,625% Senior Notes mit Fälligkeit 2029 angekündigt. Diese zusätzlichen Notes werden unter dem gleichen Vertrag wie die bestehenden 850 Millionen Dollar an Gesamtnennbetrag der 8,625% Senior Notes mit Fälligkeit 2029 ausgegeben. Das Angebot unterliegt den Marktbedingungen und wird an berechtigte Käufer in einer Privatplatzierung gerichtet.
Das Unternehmen beabsichtigt, die Nettoerlöse aus diesem Angebot zu einem Teil der ausstehenden Schulden unter seiner revolvierenden Kreditfazilität zurückzuzahlen. Die zusätzlichen Notes werden nur an qualifizierte institutionelle Käufer und Nicht-US-Personen außerhalb der Vereinigten Staaten gemäß der Regel 144A und der Regelung S nach dem Wertpapiergesetz angeboten.
- Raising $100 million in additional capital through senior notes offering
- Potential reduction in revolving credit facility debt
- Increasing long-term debt obligations
- Additional interest expenses from new notes
Insights
Delek Logistics Partners' proposed
The offering's structure as a private placement under Rule 144A and Regulation S is significant. This approach allows Delek to access capital markets more quickly and with less regulatory scrutiny than a public offering. However, it limits the potential investor base to qualified institutional buyers and non-U.S. persons. The explicit statement that the notes are unregistered and cannot be sold without registration or exemption is a important legal disclaimer, protecting the company from potential securities law violations. Investors should be aware that these notes may have liquidity in the secondary market due to transfer restrictions. The company's careful wording about the offering being subject to market conditions provides legal flexibility if the issuance doesn't proceed as planned.
Delek Logistics intends to use the net proceeds from the offering to repay a portion of the outstanding borrowings under its revolving credit facility.
The Additional Notes will be offered only to persons reasonably believed to be qualified institutional buyers in an offering exempt from registration in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to non-
This press release is being issued pursuant to Rule 135c under the Securities Act, and is neither an offer to sell nor a solicitation of an offer to buy the Additional Notes or any other securities and shall not constitute an offer to sell or a solicitation of an offer to buy, or a sale of, the Additional Notes or any other securities in any jurisdiction in which such offer, solicitation or sale is unlawful.
About Delek Logistics Partners, LP
Delek Logistics is a midstream energy master limited partnership headquartered in
Delek US Holdings, Inc. (NYSE: DK) owns the general partner interest as well as a majority limited partner interest in Delek Logistics and is also a significant customer.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the offering and the anticipated use of the net proceeds therefrom. These statements may contain words such as “possible,” “believe,” “should,” “could,” “would,” “predict,” “plan,” “estimate,” “intend,” “may,” “anticipate,” “will,” “if,” “expect” or similar expressions, as well as statements in the future tense, are made as of the date they were first issued and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond Delek Logistics’ control. Delek Logistics’ actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including, but not limited to, market risks and uncertainties, including those which might affect the offering, and the impact of any natural disasters or public health emergencies. These and other potential risks and uncertainties that could cause actual results to differ from the results predicted are more fully detailed in Delek Logistics’ filings and reports with the Securities and Exchange Commission (“SEC”), including the Annual Report on Form 10-K for the year ended December 31, 2023 and other reports and filings with the SEC.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240812024524/en/
Investor Relations and Media/Public Affairs Contact:
investor.relations@delekus.com
Source: Delek Logistics Partners, LP
FAQ
What is the purpose of Delek Logistics Partners' (DKL) $100 million senior notes offering?
What is the interest rate and maturity date of DKL's proposed additional senior notes?
How much in total senior notes due 2029 will DKL have outstanding after this proposed offering?
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