Enterprise Products signs $4.5 billion of revolving agreements

Chicago, Sept. 7 – Enterprise Products Operating LLC reported that it signed a $1.5 billion 364-day revolving credit agreement and a $3 billion multiyear revolving agreement on Sept. 7, according to an 8-K filing with the Securities and Exchange Commission.

364-day facility

The $1.5 billion facility lists Citibank, NA as administrative agent and matures Sept. 6, 2022.

Borrowings can be increased an additional $200 million at the borrower’s election.

The facility replaces the 2020 facility.

Proceeds may be used for working capital, capital expenditures, acquisitions and other company purposes.

Borrowings are guaranteed by the partnership pursuant to a guaranty agreement.

Should Enterprise elect, 15 to 60 days before the maturity date, borrowings can be converted to a term loan for an additional one-year period.

Based on ratings, interest will range between Libor plus 81.5 basis points to 132.5 bps. The facility will similarly move between 6 bps and 17.5 bps.

Wells Fargo Bank, NA, JPMorgan Chase Bank, NA, Mizuho Bank, Ltd., MUFG Bank, Ltd. and Truist Bank are the co-syndication agents.

Barclays, Royal Bank of Canada, Sumitomo Mitsui Banking Corp., Bank of Nova Scotia, Houston Branch, and Toronto-Dominion Bank, New York Branch are co-documentation agents.

Citibank, NA, Wells Fargo Securities, LLC, Barclays, J.P. Morgan Securities LLC, Mizuho Bank, Ltd., MUFG Bank, Ltd., RBC Capital Markets, Sumitomo Mitsui Banking Corp., TD Securities (USA) LLC, Bank of Nova Scotia and Truist Securities, Inc. are joint lead arrangers and joint bookrunners.

Multiyear revolver

The company also signed a $3 billion revolver with Wells Fargo Bank, NA as administrative agent, due Sept. 7, 2026.

With the consent of the lenders, the revolver can be extended two one-year periods at the request of the borrower.

The revolver can be increased by $500 million.

The agreement replaces the revolver from Sept. 13, 2017 that also had Wells Fargo as administrative agent.

Also based on ratings, interest will vary between Libor plus 80 bps and 130 bps. The facility fee rate will shift between 7.5 bps and 20 bps, in five tiers.

Citibank, NA, JPMorgan Chase Bank, NA, Mizuho Bank, Ltd., MUFG Bank, Ltd. and Truist Bank are co-syndication agents.

Barclays, Royal Bank of Canada, Sumitomo Mitsui Banking Corp., Bank of Nova Scotia, Houston Branch, and Toronto-Dominion Bank, New York Branch are co-documentation agents.

Wells Fargo Securities, LLC, Citibank, NA, Barclays, J.P. Morgan Securities LLC, Mizuho Bank, Ltd., MUFG Bank, Ltd., RBC Capital Markets, Sumitomo Mitsui Banking Corp., TD Securities (USA) LLC, Bank of Nova Scotia and Truist Securities, Inc. are joint lead arrangers and joint bookrunners.

Proceeds can be used for commercial paper and for working capital, capital expenditures, acquisitions and other company purposes.

The midstream energy services provider is based in Houston.

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