SAN ANTONIO--(BUSINESS WIRE)--NuStar Energy L.P. (NYSE:NS) (“NuStar” or the “Partnership”) announced today that it plans to conduct an underwritten public offering of Series B Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (the “Preferred Units”) at a price of $25.00 per unit pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission (“SEC”). The Partnership currently intends to use the net proceeds from the offering, including any exercise of the underwriters’ option to purchase additional Preferred Units, to fund a portion of the purchase price and related fees and expenses for the Partnership’s previously announced acquisition of Navigator Energy Services, LLC. Pending such use, the Partnership intends to hold the net proceeds of this offering as cash.
Wells Fargo Securities, LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co. LLC and UBS Securities LLC are acting as joint booking-running managers for the offering. A copy of the prospectus supplement and accompanying base prospectus relating to this offering may be obtained from Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000, Minneapolis, Minnesota 55402, Attention: WFS Customer Service, Telephone: (800) 645-3751; Merrill Lynch, Pierce, Fenner & Smith Incorporated, 200 North College Street, NC1-004-03-43, Charlotte, North Carolina 28255, Attention: Prospectus Department, Telephone: (800) 294-1322, Email: firstname.lastname@example.org; Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department; and UBS Securities LLC, 1285 Avenue of the Americas, New York, New York 10019, Attention: Prospectus Specialist, Telephone: (888) 827-7275. You may also obtain these documents for free when they are available by visiting the SEC’s website at www.sec.gov.
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 offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The offering may be made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
NuStar Energy L.P., a publicly traded master limited partnership based in San Antonio, is one of the largest independent liquids terminal and pipeline operators in the nation. NuStar currently has approximately 8,700 miles of pipeline and 79 terminal and storage facilities that store and distribute crude oil, refined products and specialty liquids. NuStar’s combined system has approximately 95 million barrels of storage capacity, and NuStar has operations in the United States, Canada, Mexico, the Netherlands, including St. Eustatius in the Caribbean, and the United Kingdom.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes forward-looking statements regarding future events, including the size, timing and results of the offering and the consummation of the acquisition. All forward-looking statements are based on NuStar’s beliefs as well as assumptions made by and information currently available to NuStar. These statements reflect NuStar’s current views with respect to future events and are subject to various risks, uncertainties and assumptions. These risks, uncertainties and assumptions are discussed in NuStar’s 2016 Annual Report on Form 10-K and subsequent filings with the SEC. NuStar undertakes no obligation to update or revise any forward-looking statement except as may be required by applicable law.