By Andrea Heisinger
New York, Jan. 8 - Atmos Energy Corp. has priced an upsized $500 million of 4.15% 30-year senior notes on Tuesday at a spread of Treasuries plus 110 basis points, a market source said.
The size of the trade was increased from $350 million, the source said.
The notes (Baa1/BBB+/A-) were sold at 99.812 to yield 4.161%.
There will be a make-whole call at Treasuries plus 20 bps until July15, 2042, with a par call after that date.
J.P. Morgan Securities LLC, Mitsubishi UFJ Securities (USA) Inc. and U.S. Bancorp Investments Inc. were the active bookrunners. Passive bookrunners were Credit Agricole Securities (USA) Inc. and RBS Securities Inc.
Proceeds will be used to repay $260 million of short-term financing of a facility that expires Feb. 1, 2013, with any remainder used for general corporate purposes, including repayment of working capital borrowings under a commercial paper program.
Atmos was last in the U.S. bond market with a $400 million sale of 5.5% 30-year bonds priced at Treasuries plus 125 bps on June 7, 2011.
The natural gas transportation and storage is based in Dallas.
| Issuer: | Atmos Energy Corp.
|
| Issue: | Senior notes
|
| Amount: | $500 million, upsized from $350 million
|
| Maturity: | Jan. 15, 2043
|
| Bookrunners: | J.P. Morgan Securities LLC, Mitsubishi UFJ Securities (USA) Inc. and U.S. Bancorp Investments Inc. (active), Credit Agricole Securities (USA) Inc. and RBS Securities Inc. (passive)
|
| Coupon: | 4.15%
|
| Price: | 99.812
|
| Yield: | 4.161%
|
| Spread: | Treasuries plus 110 bps
|
| Call: | Make-whole at Treasuries plus 20 bps until July 15, 2042, par call after
|
| Trade date: | Jan. 8
|
| Settlement date: | Jan. 11
|
| Ratings: | Moody's: Baa1
|
| Standard & Poor's: BBB+
|
| Fitch: A-
|
© 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.
