Crestwood Midstream Partners LP (CMLP) priced a private offering of $600 million in aggregate principal amount of 7.375% unsecured senior notes due in 2031, a $100 million increase from the original offering amount, Crestwood Equity Partners LP announced in a Jan. 17 press release.
The offering is expected to close on Jan. 19 and is subject to customary closing conditions with the notes issued at face value. The private offering is exempt from the Securities Act of 1933’s registration requirements, according to the press release.
CMLP will use the net proceeds from the notes offering to repay revolving credit facility borrowings, in addition to repaying and terminating Crestwood Permian Basin Holdings LLC’s (CPJV) revolving credit facility within 30 days of its closing. CMLP will then designate CPJV as restricted subsidiaries and guarantors of the notes and other existing notes.
CMLP is a wholly owned subsidiary of Crestwood Equity Partners and owns and operates midstream businesses in shale plays across the U.S.
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