Magellan Midstream Partners gets $800 million five-year revolver

By Angela McDaniels

Tacoma, Wash., Oct. 28 - Magellan Midstream Partners, LP entered into an $800 million revolving credit facility due Oct. 27, 2016 on Thursday, according to an 8-K filing with the Securities and Exchange Commission.

The revolver had a $400 million sublimit for letters of credit and an $80 million sublimit for swingline loans.

The interest rate is Libor plus 87.5 basis points to 175 bps. The commitment fee is 13 bps to 30 bps.

Wells Fargo Bank, NA is the administrative agent. JPMorgan Chase Bank, NA and Suntrust Bank are the syndication agents. Wells Fargo Securities, LLC, J.P. Morgan Securities LLC and Suntrust Robinson Humphrey, Inc. are the lead arrangers and bookrunners.

The covenants limit the company's ratio of consolidated debt to consolidated EBITDA to 5 times. This increases to 5.5 times in connection with certain future acquisitions.

The company terminated its $550 million credit facility with Wachovia Bank, NA as administrative agent. As of Oct. 27, the company had no borrowings outstanding under the prior facility and $4.6 million of letters of credit.

Magellan is based in Tulsa, Okla. It transports, stores and distributes refined petroleum products and crude oil.

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