Magellan Midstream Prices $500 Million Debt Offering

TULSA, Okla. – Magellan Midstream Partners, L.P. (NYSE: MMP) announced today that it has priced $500 million of its 4.25% senior notes due 2046. The notes were priced at 98.762% of par to yield 4.324% to maturity. The partnership intends to use the net proceeds from this offering of approximately $488.7 million, after deducting underwriting discounts and estimated offering expenses, to repay its 5.65% senior notes when due in Oct. 2016 and to repay borrowings outstanding under its commercial paper program. Any remaining proceeds may be used for general partnership purposes, which may include capital expenditures.

The offering is expected to close on Sept. 13, 2016 and is subject to customary closing conditions. J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Mizuho Securities USA Inc. and RBC Capital Markets, LLC are joint book-running managers for the debt offering, with Barclays Capital Inc., PNC Capital Markets LLC, SMBC Nikko Securities America, Inc., SunTrust Robinson Humphrey, Inc., U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC acting as co-managers.

The offering may be made only by means of a prospectus supplement and accompanying base prospectus. Copies of these documents may be obtained from:

  • J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179, Attention: Investment Grade Syndicate Desk, 3rd Floor, phone: (212) 834-4533;
  • Citigroup Global Markets Inc. c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, phone: (800) 831-9146;
  • Mizuho Securities USA Inc., Attention: Debt Capital Markets, 320 Park Avenue, 12th Floor, New York, NY 10022, phone: (866) 271-7403; and
  • RBC Capital Markets, LLC, Attention: DCM Transaction Management, 200 Vesey Street, New York, NY 10281, phone: (866) 375-6829.

Electronic copies of the prospectus supplement and accompanying base prospectus are also available from the Securities and Exchange Commission’s website at www.sec.gov.

A registration statement relating to these securities became effective upon filing with the Securities and Exchange Commission. This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About Magellan Midstream Partners, L.P.

Magellan Midstream Partners, L.P. (NYSE: MMP) is a publicly traded partnership that primarily transports, stores and distributes refined petroleum products and crude oil. The partnership owns the longest refined petroleum products pipeline system in the country, with access to nearly 50% of the nation’s refining capacity, and can store more than 95 million barrels of petroleum products such as gasoline, diesel fuel and crude oil. More information is available at www.magellanlp.com.


Portions of this document may constitute forward-looking statements as defined by federal law. Although management believes any such statements are based on reasonable assumptions, actual outcomes may be materially different. Additional information about issues that could lead to material changes in performance is contained in the partnership’s filings with the Securities and Exchange Commission.

Contact Information:

Paula Farrell Investor Relations 918-574-7650 paula.farrell@magellanlp.com