MPLX LP prices $1.5 billion senior notes offering

Rhea-AI Summary

MPLX LP (NYSE: MPLX) announced the pricing of $1.5 billion in senior notes with a 4.950% interest rate due in 2052. The notes were priced at 98.982% of par value, with proceeds aimed at repaying outstanding borrowings under a loan agreement with Marathon Petroleum and a revolving credit facility. The offering is expected to close on March 14, 2022, pending customary conditions. Citigroup, RBC Capital Markets, and TD Securities are managing the offering.

Positive

• Successful pricing of $1.5 billion in senior notes
• Intended use of proceeds to strengthen balance sheet by repaying debt
• Interest rate of 4.950% is competitive for long-term financing

Negative

• None.

FINDLAY, Ohio, March 10, 2022 /PRNewswire/ -- MPLX LP (NYSE: MPLX) announced today that it has priced $1,500,000,000 in aggregate principal amount of 4.950% senior notes due 2052 (the "Notes") in an underwritten public offering. The Notes were offered at a price to the public of 98.982% of par.

MPLX intends to use the net proceeds from this offering to repay outstanding borrowings under an intercompany loan agreement with its sponsor, Marathon Petroleum Corporation, and its revolving credit agreement. Any remaining net proceeds will be used for general partnership purposes. 

The closing of the offering is expected to occur on March 14, 2022, subject to satisfaction of customary closing conditions.

Citigroup Global Markets Inc., RBC Capital Markets, LLC and TD Securities (USA) LLC are acting as joint book-running managers for the offering.

This offering is being made only by means of a prospectus and related prospectus supplement, which may be obtained for free by visiting the Securities and Exchange Commission's website at http://www.sec.gov. Alternatively, copies may be obtained by contacting the following, who are acting as representatives of the underwriters:

Citigroup Global Markets Inc.
c/o Broadridge Financial Solutions                          
1155 Long Island Avenue                                            
Edgewood, NY 11717   
Toll-Free: 1-800-831-9146

RBC Capital Markets, LLC
Brookfield Place
200 Vesey Street, 8^th Floor
New York, New York 10281
Toll-Free: 1-866-375-6829

TD Securities (USA) LLC
1 Vanderbilt Avenue, 12^th Floor
New York, New York 10017
Toll-Free: 1-855-495-9846

This news release shall not constitute an offer to sell or a solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About MPLX LP 

MPLX is a diversified, large-cap master limited partnership that owns and operates midstream energy infrastructure and logistics assets, and provides fuels distribution services. MPLX's assets include a network of crude oil and refined petroleum product pipelines; an inland marine business; light-product terminals; storage caverns; refinery tanks, docks, loading racks, and associated piping; and crude and light-product marine terminals. The company also owns crude oil and natural gas gathering systems and pipelines as well as natural gas and NGL processing and fractionation facilities in key U.S. supply basins.

Investor Relations Contacts: (419) 421-2071
Kristina Kazarian, Vice President, Investor Relations
Jamie Madere, Manager, Investor Relations
Isaac Feeney, Analyst, Investor Relations

Media Contact: (419) 421-3312
Jamal Kheiry, Communications Manager

View original content:https://www.prnewswire.com/news-releases/mplx-lp-prices-1-5-billion-senior-notes-offering-301500539.html

SOURCE MPLX LP

FAQ

What did MPLX announce on March 10, 2022?

MPLX announced the pricing of $1.5 billion in senior notes with a 4.950% interest rate due in 2052.

What is the interest rate of the MPLX senior notes due 2052?

The interest rate of the MPLX senior notes due in 2052 is 4.950%.

How will MPLX use the proceeds from the senior notes offering?

MPLX intends to use the proceeds to repay outstanding borrowings and for general partnership purposes.

When is the expected closing date for the MPLX notes offering?

The expected closing date for the MPLX notes offering is March 14, 2022.

Who are the joint book-running managers for MPLX's offering?

Citigroup, RBC Capital Markets, and TD Securities are acting as joint book-running managers for the offering.