ONEOK Partners LP (NYSE: OKS) has begun a public offering of 11 million of its common units, representing limited partner interests.
ONEOK Partners expects to use the net proceeds from the common unit public offering for general partnership purposes and to repay amounts outstanding under its commercial paper program.
BofA Merrill Lynch, Barclays, Morgan Stanley, UBS Investment Bank, Wells Fargo Securities, Citigroup, Deutsche Bank Securities, Goldman, Sachs & Co., JP Morgan, and RBC Capital Markets are acting as joint book-running managers in the public offering.
The partnership is expected to grant to the underwriters a 30-day option to purchase up to an additional 1.65 million common units.
When the common unit public offering is complete, ONEOK Partners will have 244.1 million units outstanding, which includes 171.1 million common units and 73.0 million Class B units. The aggregate ownership interest in the partnership by ONEOK Inc. (NYSE: OKE) and a subsidiary, which is the sole general partner of the partnership, will be approximately 39.3%, compared with 41.0% previously, assuming the option to purchase additional common units is not exercised.