New Issue: Calumet sells upsized $350 million 7 5/8% notes due 2022 at 98.494 to yield 7 7/8%

By Paul A. Harris

Portland, Ore., Nov. 21 - Calumet Finance Corp., a subsidiary of Calumet Specialty Products Partners, LP, priced an upsized $350 million of 7 5/8% eight-year senior notes (B2/B+/) at 98.494 to yield 7 7/8% on Thursday, according to an informed source.

The quick-to-market issue was upsized from $225 million.

The yield printed at the tight end of yield talk set in the 8% area.

BofA Merrill Lynch was the left bookrunner. Barclays, RBC Capital Markets and J.P. Morgan Securities LLC were the joint bookrunners.

The Indianapolis-based specialty hydrocarbon products and fuel products producer plans to use the proceeds for general partnership purposes, including working capital, capital expenditures and acquisitions.

Issuers:	Calumet Specialty Products Partners, LP and Calumet Finance Corp.
Amount:	$350 million, increased from $225 million
Maturity:	Jan. 15, 2022
Securities:	Senior notes
Left bookrunner:	BofA Merrill Lynch
Joint bookrunners:	Barclays, RBC Capital Markets, J.P. Morgan Securities LLC
Co-managers:	Wells Fargo Securities LLC, Deutsche Bank Securities Inc., Goldman Sachs & Co.
Coupon:	7 5/8%
Price:	98.494
Yield:	7 7/8%
Spread:	560 bps
First call:	Make-whole call at Treasuries plus 50 bps until Jan. 15, 2018, then callable at 103.813
Equity clawback:	35% at 107.625 until Jan. 15, 2017
Trade date:	Nov. 21
Settlement date:	Nov. 26
Ratings:	Moody's: B2
	Standard & Poor's: B+
Distribution:	Rule 144A and Regulation S
Price talk:	8% area
Marketing:	Quick to market

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