©Reuters.
AUSTIN, Texas – Compression (NYSE:) Partners, LP (NYSE: USAC), a U.S. compression services provider, announces the pricing of a private placement of senior unsecured notes.
The company, together with its subsidiary USA Compression Finance Corp., will issue $1 billion in par value of 7.125% senior unsecured notes maturing in 2029. The private placement is expected to close on March 18, 2024, subject to customary closing conditions.
The Partnership expects to receive approximately $984.4 million in net proceeds from the Offering, after taking into account the initial purchaser's discount and estimated offering expenses. The proceeds will be used to repay a portion of existing borrowings under the asset-based revolving credit facility.
In addition, the proceeds will be used to redeem 6.875% senior notes due in 2026 and will be used for general partnership purposes.
These senior notes have not been registered under the Securities Act of 1933 or any state securities laws and will be offered only to qualified institutional buyers and non-U.S. persons in accordance with applicable regulations. These shares will not be listed on a stock exchange or automated market system, and the offering is subject to the execution of an offering memorandum.
USA Compression Partners discloses that this press release does not constitute an offer to sell or a solicitation of an offer to buy any securities. There will be no sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful without registration or qualification under applicable securities laws.
This press release contains forward-looking statements that are based on assumptions and are subject to uncertainties and risks, many of which are beyond the control of the Partnership. These could materially affect actual results and cause them to differ from those anticipated by the Partnership's management. USA Compression Partners undertakes no obligation to update or revise any forward-looking statements in light of new information or future events.
Investors are advised to exercise caution and not place undue reliance on forward-looking statements. These statements are valid only as of the date of this press release. Important factors that could cause actual results to differ from anticipated results are detailed in the Partnership's Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission. It has been.
This article is based on a press release statement from USA Compression Partners, LP.
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