Sunoco LP (the Partnership) has priced its registered underwritten public offering of 5,500,000 common units.
The units represent limited partner interests in the Partnership, pursuant to an effective shelf registration statement on Form S-3, previously filed with the Securities and Exchange Commission (SEC) at $40.10 per common unit.
The offering is expected to close on or about July 21, 2015.
The Partnership granted the underwriters a 30-day option to purchase up to 825,000 additional common units.
The Partnership intends to use the net proceeds from the offering, and from the underwriters’ exercise of their option to purchase additional common units, if applicable, to repay borrowings outstanding under its revolving credit facility and for general partnership purposes. The Partnership intends to use borrowings under its revolving credit facility, along with the net proceeds from the concurrent private placement of $600 million of aggregate principal amount of senior notes due 2020, to fund the cash consideration in its pending acquisition of 100% of the issued and outstanding shares of Susser Holdings Corp.
Morgan Stanley, BofA Merrill Lynch, UBS Investment Bank, Wells Fargo Securities, Baird, Citigroup, Credit Suisse, Deutsche Bank Securities, Goldman, Sachs & Co., Jefferies, J.P. Morgan, Raymond James and RBC Capital Markets are acting as joint book-running managers of the offering. Ladenburg Thalmann is acting as co-manager of the offering.
The offering may be made only by means of a prospectus supplement and accompanying base prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.