Sunoco LP Announces Private Offering of Senior Notes

Jan 08, 2018

DALLAS, Jan. 8, 2018 /PRNewswire/ -- Sunoco LP (NYSE: SUN) ("Sunoco") today announced a private offering of senior notes due 2023, senior notes due 2026 and senior notes due 2028 (collectively, the "notes") in an aggregate principal amount of $1.75 billion. Sunoco Finance Corp., a wholly owned direct subsidiary of Sunoco, will serve as co-issuer of the notes.

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Sunoco intends to use the net proceeds from the offering, together with the consideration it receives from its previously announced sale of certain company-operated retail fuel outlets to 7-Eleven, Inc. (the "7-Eleven Transaction"), to (i) redeem in full (a) its 5.500% senior notes due 2020 at a call premium of 102.750% plus accrued and unpaid interest, and (b) each of its 6.250% senior notes due 2021 and 6.375% senior notes due 2023 at a make-whole premium plus accrued and unpaid interest, (ii) repay in full and terminate its existing senior secured term loan agreement, (iii) repay a portion of the outstanding borrowings under its existing $1.5 billion revolving credit facility, (iv) pay all closing costs and taxes in connection with the 7-Eleven Transaction, (v) redeem all of its outstanding Series A Preferred Units and (vi) fund the repurchase of a portion of its outstanding common units.

The offering of the notes has not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws and, unless so registered, the notes may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

This press release is neither an offer to sell nor a solicitation of an offer to buy the notes or any other securities and shall not constitute an offer to sell or a solicitation of an offer to buy, or a sale of, the notes or any other securities in any jurisdiction in which such offer, solicitation or sale is unlawful.

About Sunoco LP
Sunoco LP (NYSE: SUN) is a master limited partnership that operates 1,346 convenience stores and retail fuel sites and distributes motor fuel to 7,898 convenience stores, independent dealers, commercial customers and distributors located in more than 30 states. Our parent – Energy Transfer Equity, L.P. (NYSE: ETE) – owns Sunoco's general partner and all of Sunoco's incentive distribution rights.

Cautionary Statement Relevant to Forward-Looking Information
This press release includes forward-looking statements regarding future events. These forward-looking statements are based on Sunoco's current plans and expectations, including with respect to the notes offering, the 7-Eleven Transaction and the use of net proceeds therefrom, and involve a number of risks and uncertainties that could cause actual results and events to vary materially from the results and events anticipated or implied by such forward-looking statements. For a further discussion of these risks and uncertainties, please refer to the "Risk Factors" section of Sunoco's most recently filed annual report on Form 10-K, Sunoco's quarterly report on Form 10-Q for the quarter ended March 31, 2017 and in other filings made by Sunoco with the Securities and Exchange Commission. While Sunoco may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so, even if new information becomes available in the future.


Scott Grischow
Senior Director – Investor Relations and Treasury
(214) 840-5660,

Derek Rabe, CFA
Senior Analyst – Investor Relations and Finance
(214) 840-5553,


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