Energy Transfer LP Announces Pricing of $1.75 Billion of Junior Subordinated Notes
Energy Transfer LP (NYSE: ET) today announced the pricing of its offering of $650,000,000 aggregate principal amount of Series 2026A junior subordinated notes due 2057 (the “Series 2026A notes”) and $1,100,000,000 aggregate principal amount of Series 2026B junior subordinated notes due 2057 (the “Series 2026B notes,” and together with the Series 2026A notes, the “junior subordinated notes”) each at prices to the public of 100.000% of their face value. Initially, the Series 2026A notes will bear interest at an annual rate of 6.550% and the Series 2026B notes will bear interest at an annual rate of 6.700%.
The sale of the junior subordinated notes is expected to settle on July 20, 2026, subject to the satisfaction of customary closing conditions. Energy Transfer intends to use the net proceeds of approximately $1,732,500,000 (before offering expenses) from the junior subordinated notes offering to redeem all of its outstanding 6.500% Series H Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Units (the “Series H Preferred Units”), which are redeemable during the redemption period commencing August 15, 2026, to refinance existing indebtedness, including to repay commercial paper and borrowings under its revolving credit facility, and for general partnership purposes. This press release does not constitute a notice of redemption with respect to the Series H Preferred Units, and nothing contained herein shall constitute, or be deemed to constitute, a notice of redemption of the Series H Preferred Units. Notice of redemption with respect to the Series H Preferred Units will be issued at a later date, and such units will be redeemed during the redemption period, which commences August 15, 2026.
