Teekay LNG Partners, one of the world’s largest owners of LNG carriers, has priced NOK 1,000 million ($115,194) in new senior unsecured bonds that mature in November 2026 in the Norwegian bond market.
Teekay is providing LNG and LPG services primarily under long-term, fee-based charter contracts. It owns interests in 47 LNG carriers, 21 mid-size LPG carriers, and seven multi-gas carriers. Its ownership interests in these vessels range from 20 to 100 percent. In addition, Teekay owns a 30 per cent interest in a regasification terminal.
The new bond issuance has an aggregate principal amount equivalent to approximately $116 million. Also, all payments will be swapped into a U.S. dollar fixed-rate coupon of approximately 6.37 per cent.
Teekay LNG Partners expects to close the bond offering on 18 November 2021. The company will use the net proceeds from the bonds for general partnership purposes. It will also apply for the listing of the new bonds on the Oslo Stock Exchange.
Meanwhile, DNB Markets, Nordea, Danske Bank, SEB, Swedbank, and Credit Agricole Corporate and Investment Bank acted as joint lead managers.
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Teekay LNG declares cash distributions on preferred units Business Developments & Projects The bonds are not and will not be registered under the U.S. Securities Act of 1933. Unless so registered, the bonds may not be offered or sold in the U.S. except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws.