logo
Share SHARE
FONT-SIZE Plus   Neg

ONEOK Partners Announces 7.0 Mln Common Units Public Offering; Stock Down

ONEOK Partners, L.P (OKS) Monday announced a public offering of 7.0 million of its common units, representing limited partner interests, subject to market and other conditions.

In addition, the partnership will concurrently sell 7.0 million of its common units to ONEOK, Inc. (OKE) in a private placement. ONEOK, Inc. and a subsidiary, which is the sole general partner of the partnership, currently own an aggregate 42.8 percent interest in the partnership.

ONEOK Partners expects to use the net proceeds from the common unit public offering and private placement to repay amounts outstanding under its $1.2 billion commercial paper program, to repay amounts on the maturity of its $350 million 5.9 percent senior notes due April 2012, for capital expenditures and for other general partnership purposes.

Barclays Capital, BofA Merrill Lynch, Citigroup, Morgan Stanley, UBS Investment Bank and Wells Fargo Securities are acting as joint book-running managers in the public offering. Deutsche Bank Securities, Goldman, Sachs & Co., J.P. Morgan and RBC Capital Markets are acting as co-managers.

The partnership is expected to grant to the underwriters a 30-day option to purchase up to an additional 1,050,000 units to cover over-allotments, if any. The private placement of common units to ONEOK, Inc. will not be subject to an over-allotment option.

When the common unit public offering and private placement are complete, ONEOK Partners will have 217.8 million units outstanding, which includes 144.8 million common units and 73.0 million Class B units. ONEOK, Inc. and a subsidiary, which is the sole general partner of the partnership, will increase their aggregate ownership interest in the partnership to 43.3 percent from 42.8 percent, assuming the over-allotment option is not exercised.

OKS closed Monday's regular trade at $61.23, up $0.21 or 0.34%, on the NYSE. In the after-hours, the stock lost $2.17 or 3.54%. Over the past year, the stock traded in a range of $43.05 - $61.02.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Shares of WPP Group Plc. were losing around 11 percent in the early morning trading in London after the advertising giant reported Wednesday that it has revised down fiscal 2017 forecast, despite reporting significant growth in first-half profit and revenues. The company attributed the revision to the pressure on client spending. Teens and young adults now find Instagram and Snapchat more attractive than Facebook, a new study by eMarketer revealed. The report also suggested that for the first time, Snapchat might overtake Facebook in the U.S. by gaining a marketshare of 40.8 percent in social network. A new survey has shown that a majority of parents as well as teens agree that texting or use of cell phones are the biggest distraction to teen drivers. The survey also found that risky driving behavior seems to run in the family. The 2017 Family Safe Driving Report was released by EverQuote Inc., a venture-backed online insurance marketplace.
comments powered by Disqus
Follow RTT