Williams Prices $1.50 Billion of Senior Notes

Rhea-AI Summary

Williams (NYSE: WMB) has priced a public offering of $750 million in 5.400% Senior Notes due 2026 and $750 million in 5.650% Senior Notes due 2033. The notes are priced at 99.907% and 99.891% of par, respectively, with settlement scheduled for March 2, 2023. The company plans to use the net proceeds for general corporate purposes, including repaying outstanding commercial paper and near-term debt. Deutsche Bank, J.P. Morgan, Mizuho, and Morgan Stanley are acting as joint book-running managers for the offering.

Positive

• Successfully priced $750 million in Senior Notes offering.
• Funding will strengthen balance sheet by allowing repayment of outstanding commercial paper.

Negative

• The offering may dilute current shareholders' equity if not managed efficiently.

TULSA, Okla.--(BUSINESS WIRE)-- Williams (NYSE: WMB) announced today that it has priced a public offering of $750 million of its 5.400% Senior Notes due 2026 at a price of 99.907 percent of par and $750 million of its 5.650% Senior Notes due 2033 at a price of 99.891 percent of par. The expected settlement date for the offering is March 2, 2023, subject to customary closing conditions.

Williams intends to use the net proceeds of the offering for general corporate purposes, which may include the repayment of our outstanding commercial paper notes or other near-term debt maturities.

Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC and Morgan Stanley & Co. LLC are acting as joint book-running managers for the offering.

This news release is neither an offer to sell nor a solicitation of an offer to buy any of these securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

An automatic shelf registration statement relating to the notes was previously filed with the Securities and Exchange Commission (the “SEC”) and became effective upon filing. Before you invest, you should read the prospectus in the registration statement and other documents Williams has filed with the SEC for more complete information about Williams and the offering. A copy of the prospectus supplement and prospectus relating to the offering may be obtained on the SEC website at www.sec.gov or from any of the underwriters by contacting:

Deutsche Bank Securities Inc.
1 Columbus Circle
New York, NY 10019
Telephone: 1 800-503-4611

J.P. Morgan Securities LLC
c/o Broadridge Financial Solutions, Attn: Prospectus Department
1155 Long Island Avenue, Edgewood, NY 11717
Telephone: 1-866-803-9204

Mizuho Securities USA LLC
1271 Avenue of the Americas
New York, NY 10020
Toll-free: 1-866-271-7403

Morgan Stanley & Co. LLC
1585 Broadway
New York, NY 10036
Toll-free: 1-866-718-1649

About Williams

As the world demands reliable, low-cost, low-carbon energy, Williams (NYSE: WMB) will be there with the best transport, storage and delivery solutions to reliably fuel the clean energy economy. Headquartered in Tulsa, Oklahoma, Williams is an industry-leading, investment grade C-Corp with operations across the natural gas value chain including gathering, processing, interstate transportation, storage, wholesale marketing and trading of natural gas and natural gas liquids. With major positions in top U.S. supply basins, Williams connects the best supplies with the growing demand for clean energy. Williams owns and operates more than 33,000 miles of pipelines system wide — including Transco, the nation’s largest volume and fastest growing pipeline — and handles approximately one third of the natural gas in the United States that is used every day for clean-power generation, heating and industrial use.

Portions of this document may constitute “forward-looking statements” as defined by federal law. Although Williams believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. Any such statements are made in reliance on the “safe harbor” protections provided under the Private Securities Reform Act of 1995. Additional information about issues that could lead to material changes in performance is contained in Williams’ annual and quarterly reports filed with the SEC.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230227005938/en/

MEDIA:

media@williams.com

(800) 945-8723

INVESTOR CONTACTS:

Danilo Juvane

(918) 573-5075

Grace Scott

(918) 573-1092

Source: Williams

FAQ

What are the details of Williams' recent public offering?

Williams has priced a public offering of $750 million in 5.400% Senior Notes due 2026 and $750 million in 5.650% Senior Notes due 2033, with settlement expected on March 2, 2023.

How will Williams use the proceeds from the Senior Notes offering?

The proceeds will be used for general corporate purposes, including repaying outstanding commercial paper notes and near-term debt.

Who are the underwriters for Williams' public offering?

The underwriters are Deutsche Bank, J.P. Morgan, Mizuho, and Morgan Stanley.

What is the impact of the Senior Notes offering on Williams' financial health?

The offering aims to enhance Williams' balance sheet by allowing repayment of existing debt, which can improve financial stability.