Buckeye Partners extends early tender deadline in offer for subordinated notes due 2078

By Mary-Katherine Stinson

Lexington, Ky., Dec. 22 – Buckeye Partners LP extended the early expiration date of its cash tender offer for any and all its $297,001,000 outstanding junior subordinated notes due 2078 (Cusip: 118230AS0), according to a press release.

The early expiration date will now correspond with the expiration of the offer, which is 11:59 p.m. ET on Jan. 6.

The withdrawal deadline has passed, expiring at 5 p.m. ET on Dec. 21, and was not extended.

Early settlement will occur on Dec. 23 for the notes that have been tendered before the original early expiration deadline.

As previously reported, the company is offering $860 for each $1,000 principal amount of notes tendered, which includes an early tender payment of $50 for each $1,000 of principal. Since the early expiration period has now been extended, all tendering noteholders who tender by the expiration date will now receive the early tender premium.

Originally announced but no longer relevant, those who tendered after the early deadline were slated to receive $810 for each $1,000 of principal.

Accrued interest will also be paid.

Buckeye is also soliciting consents from noteholders to adopt amendments that would eliminate substantially all the restrictive covenants and related provisions contained in the indenture.

Noteholders may not tender their notes without consenting to the amendments. Likewise, holders who revoke their consents would withdraw their previously tendered notes.

Holders of notes of a majority of the outstanding principal amount, not including notes owned by Buckeye or its affiliates, must consent to the proposal to enact the amendments. However, the tender offer is not conditioned on receiving the necessary consents.

The tender offer is conditioned upon the satisfaction or waiver of certain conditions which are more fully described in the offer to purchase.

Credit Suisse Securities (USA) LLC (800 820-1653, 212 325-7823, americas.LM@credit-suisse.com) is acting as dealer manager and solicitation agent.

D.F. King & Co., Inc. (866 620-9554, 212 232-3233, buckeye@dfking.com) is the information agent.

Buckeye is a liquid petroleum products pipeline operator based in Houston.

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