El Paso Pipeline Partners, L.P. (NYSE: EPB) announced that the underwriters of its common unit offering exercised their option to purchase 1,379,900 additional common units at a public offering price of $33.45 per unit, less underwriting discounts and commissions. The option was granted in connection with the partnership's public offering of 10,500,000 common units, which was completed in November 2010. The closing of the over-allotment option is expected to occur December 17, 2010.
The partnership intends to use the total net proceeds from the underwriters' exercise of their option to purchase 1,379,900 common units, including the general partner's proportionate capital contribution, of approximately $45.6 million to reduce outstanding borrowings under its revolving credit facility.
Barclays Capital, BofA Merrill Lynch, Citi, Morgan Stanley, and Wells Fargo Securities are acting as joint book-running managers of the offering. Credit Suisse, Deutsche Bank, Raymond James and UBS Investment Bank are acting as co-managing underwriters of the offering. A copy of the prospectus supplement and accompanying base prospectus relating to the offering may be obtained from any of the underwriters, including:
Barclays Capital Inc. c/o Broadridge Financial Solutions 1155 Long Island Avenue Edgewood, NY 11717 Email: Barclaysprospectus@broadridge.com Toll-free number: 1-888-603-5847
Merrill Lynch, Pierce, Fenner & Smith Incorporated Attn: Prospectus Department 4 World Financial Center New York, NY 10080 Email: Prospectus.Requests@ml.com
Citigroup Global Markets Inc. Attn: Prospectus Department Brooklyn Army Terminal 140 58th Street, 8th Floor Brooklyn, NY 11220 Email: batprospectusdept@citi.com Toll-free number: 800-831-9146
Morgan Stanley & Co. Incorporated Attn: Prospectus Department 180 Varick Street, 2nd floor New York, NY 10014 Email: prospectus@morganstanley.com Toll-free number: 866-718-1649
Wells Fargo Securities, LLC Attention: Equity Syndicate Dept. 375 Park Ave. New York, NY, 10152 Email: cmclientsupport@wellsfargo.com Toll-free number: 800 326-5897
You may also obtain these documents for free by visiting the Security and Exchange Commission's Web site at www.sec.gov.
This press release shall not constitute an offer to sell or the 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 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.
El Paso Pipeline Partners, L.P. is a Delaware limited partnership formed by El Paso Corporation to own and operate natural gas transportation pipelines and storage assets. El Paso Corporation currently owns a 49 percent limited partner interest and 2 percent general partner interest in the partnership. El Paso Pipeline Partners, L.P. owns Wyoming Interstate Company (WIC), Southern LNG Company, L.L.C. (SLNG), El Paso Elba Express Company, L.L.C. (Elba Express), a 60 percent interest in Southern Natural Gas Company (SNG), and a 58 percent interest in Colorado Interstate Gas Company (CIG). WIC and CIG are interstate pipeline systems serving the Rocky Mountain region, SLNG owns the Elba Island LNG storage and regasification terminal near Savannah, Georgia, and both Elba Express and SNG are interstate pipeline systems serving the southeastern region of the United States.
Cautionary Statement Regarding Forward-Looking Statements
Statements about the offering may be forward-looking statements as defined under federal law. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties and factors, many of which are outside the control of El Paso Pipeline Partners, and a variety of risks that could cause results to differ materially from those expected by the management of El Paso Pipeline Partners. El Paso Pipeline Partners undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.
