Targa Resources Partners LP Announces Full Redemption of 9.00% Series A Fixed-to-Floating Rate Cumulative Redeemable Perpetua...
November 19 2020 - 4:25PM
Targa Resources Partners LP (the “Partnership”), a subsidiary of
Targa Resources Corp. (NYSE: TRGP) (the “Company”), today announced
that it intends to redeem all $125 million of its 5,000,000 issued
and outstanding 9.00% Series A Fixed-to-Floating Rate Cumulative
Redeemable Perpetual Preferred Units (the “Series A Preferred
Units”) (CUSIP: 87611X 204). Series A Preferred Units held through
the Depository Trust Company will be redeemed in accordance with
the applicable procedures of the Depository Trust Company. The
redemption of the Series A Preferred Units is consistent with the
Company’s ongoing efforts to simplify its capital structure and to
identify opportunities to generate additional free cash flow by
enabling the Company to realize significant annual cash savings
associated with both the redemption and the lower general and
administrative expenses attributable to reduced administrative
requirements, with 2020 being the final year tax packages,
including Schedule K-1s, would need to be prepared by the Company.
The redemption date will be December 21, 2020
(the “Redemption Date”). The Series A Preferred Units will be
redeemed at a redemption price of $25.00 per share, plus an amount
equal to all accumulated and unpaid distributions thereon to the
date of redemption, whether or not declared (the “Redemption
Consideration”), which will be payable in cash on the Redemption
Date. After the Redemption Date, Series A Preferred Units will no
longer be deemed outstanding and all of the rights of the holders
of Series A Preferred Units will terminate, except the right to
receive the Redemption Consideration. Furthermore, because all of
the issued and outstanding shares of Series A Preferred Units are
being redeemed, trading of the Series A Preferred Units on the New
York Stock Exchange (the “NYSE”) will cease after the Redemption
Date. The Series A Preferred Units currently trade on the NYSE
under the symbol “NGLS/PA”.
The notice of redemption and related materials
are being mailed to holders of record of Series A Preferred Units
as of November 19, 2020. As specified in the notice of redemption,
payment of the Redemption Consideration will be made only upon
presentation and surrender of the certificates representing the
Series A Preferred Units to the redemption agent, Computershare
Trust Company, N.A. Questions regarding the redemption of the
Series A Preferred Units, or the procedures therefore, may be
directed to Computershare Trust Company, N.A. at:
Computershare Trust Company, N.A.Transfer Agent and
Registrar
150 Royall StreetCanton, MA 02021Tel:
1-800-546-5141
About Targa Resources Partners
LP
Targa Resources Partners LP is a Delaware
limited partnership formed in October 2006 by its parent, Targa
Resources Corp. (“TRC” or the “Company”), to own, operate, acquire
and develop a diversified portfolio of complementary midstream
infrastructure assets. On February 17, 2016 TRC completed the
acquisition of all outstanding common units of the Partnership.
Targa Resources Corp. is a leading provider of midstream services
and is one of the largest independent midstream infrastructure
companies in North America. Targa owns, operates, acquires and
develops a diversified portfolio of complementary midstream
infrastructure assets. The Company is primarily engaged in the
business of: gathering, compressing, treating, processing,
transporting and purchasing and selling natural gas; transporting,
storing, fractionating, treating and purchasing and selling NGLs
and NGL products, including services to LPG exporters; and
gathering, storing, terminaling and purchasing and selling crude
oil.
The principal executive offices of Targa
Resources Partners LP are located at 811 Louisiana, Suite 2100,
Houston, TX 77002 and their telephone number is 713-584-1000.
For more information, please visit our website
at www.targaresources.com.
Forward-Looking Statements
Certain statements in this release are
“forward-looking statements” within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. All statements, other
than statements of historical facts, included in this release that
address activities, events or developments that the Partnership
expects, believes or anticipates will or may occur in the future
are forward-looking statements. These forward-looking statements
rely on a number of assumptions concerning future events and are
subject to a number of uncertainties, factors and risks, many of
which are outside the Partnership’s control, which could cause
results to differ materially from those expected by management of
the Partnership. Such risks and uncertainties include, but are not
limited to, weather, political, economic and market conditions,
including a decline in the price and market demand for natural gas,
natural gas liquids and crude oil, the impact of pandemics such as
COVID-19, actions by the Organization of the Petroleum Exporting
Countries (“OPEC”) and non-OPEC oil producing countries, the timing
and success of business development efforts, and other
uncertainties. These and other applicable uncertainties, factors
and risks are described more fully in the Partnership’s filings
with the Securities and Exchange Commission, including its Annual
Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current
Reports on Form 8-K. The Partnership does not undertake an
obligation to update or revise any forward-looking statement,
whether as a result of new information, future events or
otherwise.
Contact the Company's investor relations
department by email at InvestorRelations@targaresources.com or by
phone at (713) 584-1133.
Sanjay LadVice President, Finance & Investor Relations
Jennifer KnealeChief Financial Officer
Targa Resources (NYSE:TRGP)
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