Published on 9/4/2019 in the Prospect News High Yield Daily.
New Issue: Murphy Oil sells $500 million 10-year notes at par to yield 4¾%
By Cristal Cody
Tupelo, Miss., Sept. 4 – Murphy Oil USA Inc. priced $500 million of 10-year guaranteed senior notes (Ba2/BB+) on Wednesday at par to yield 4¾%, according to an FWP filing with the Securities and Exchange Commission.
The notes priced with a Treasuries plus 329 basis points spread.
J.P. Morgan Securities LLC was the left lead bookrunner. RBC Capital Markets, LLC and Stephens Inc. were bookrunners.
The notes are guaranteed by parent company Murphy USA Inc. and certain domestic subsidiaries.
Proceeds will be used to fund the company’s tender offer of $500 million of outstanding 6% senior notes due 2023.
Murphy Oil USA is an El Dorado, Ark.-based petroleum and natural gas exploration and production company.
| Issuer: | Murphy Oil USA Inc.
|
| Guarantors: | Murphy USA Inc. and certain domestic subsidiaries
|
| Amount: | $500 million
|
| Description: | Senior notes
|
| Maturity: | Sept. 15, 2029
|
| Bookrunners: | J.P. Morgan Securities LLC (left lead), RBC Capital Markets, LLC and Stephens Inc.
|
| Senior co-managers: | BofA Securities, Inc., Fifth Third Securities, Inc., Regions Securities LLC and Wells Fargo Securities LLC
|
| Co-managers: | BB&T Capital Markets, PNC Capital Markets LLC, UMB Financial Services, Inc. and Hancock Investments Services, Inc.
|
| Coupon: | 4¾%
|
| Price: | Par
|
| Yield: | 4¾%
|
| Spread: | Treasuries plus 329 bps
|
| Call features: | Make-whole call at Treasuries plus 50 bps before Sept. 15, 2024; on or after Sept. 15, 2024 at 102.375, Sept. 15, 2025 at 101.583, Sept. 15, 2026 at 100.792 and Sept. 15, 2027 and thereafter at par
|
| Change-of-control put: | 101%
|
| Equity clawback: | Up to 40% of notes at 104.75 before Sept. 15, 2022 if at least 60% of notes remains outstanding after redemption and redemption occurs within 90 days of qualified equity offering
|
| Trade date: | Sept. 4
|
| Settlement date: | Sept. 13
|
| Ratings: | Moody’s: Ba2
|
| S&P: BB+
|
| Distribution: | SEC registered
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
