Transcontinental Gas Pipe Line Co. LLC commenced a private offering of two series of senior notes to institutional investors, with net proceeds from the sale to be used to pay down debt.
The Williams Partners LP subsidiary is offering senior notes due 2028 and senior notes due 2048, according to a March 8 news release. Transco plans to repay $250 million of 6.05% senior notes due 2018 on their maturity date of June 15. The rest of the proceeds would be used for general corporate purposes such as CapEx funding.
Transco operates a 10,200-mile interstate transmission pipeline system that moves natural gas from South Texas to New York City. Williams Partners operates natural gas infrastructure such as gathering, processing and transportation of gas and NGLs.
