Enterprise Products Partners L.P. Secures $5 Billion Credit Facility
Ticker: EPDU · Form: 8-K · Filed: Mar 29, 2024 · CIK: 1061219
| Field | Detail |
|---|---|
| Company | Enterprise Products Partners L.P. (EPDU) |
| Form Type | 8-K |
| Filed Date | Mar 29, 2024 |
| Risk Level | low |
| Pages | 3 |
| Reading Time | 4 min |
| Key Dollar Amounts | $1.5 billion, $200 million, $1.7 billion |
| Sentiment | neutral |
Sentiment: neutral
Topics: debt, financing, credit-facility
Related Tickers: EPD
TL;DR
EPD just locked in a $5B credit line until 2029 - big liquidity boost!
AI Summary
On March 29, 2024, Enterprise Products Partners L.P. entered into a material definitive agreement, specifically a credit agreement, which creates a direct financial obligation. This agreement involves a $5.0 billion revolving credit facility, maturing on March 29, 2029, with a syndicate of lenders.
Why It Matters
This substantial credit facility provides Enterprise Products Partners with significant financial flexibility and liquidity, crucial for ongoing operations and potential future investments in the energy sector.
Risk Assessment
Risk Level: low — The filing details a standard credit agreement, which is a common and generally low-risk financial activity for a company of this size.
Key Numbers
- $5.0B — Credit Facility (Provides significant liquidity and financial flexibility.)
- 2029 — Maturity Date (Indicates the long-term nature of the financing.)
Key Players & Entities
- Enterprise Products Partners L.P. (company) — Registrant
- $5.0 billion (dollar_amount) — Revolving credit facility amount
- March 29, 2029 (date) — Maturity date of credit facility
- March 29, 2024 (date) — Date of credit agreement
FAQ
What is the primary purpose of the $5.0 billion credit facility?
The filing indicates the credit agreement creates a direct financial obligation for Enterprise Products Partners L.P., suggesting it's for general corporate purposes, working capital, or to support capital expenditures.
Who are the lenders involved in this credit agreement?
The filing refers to a 'syndicate of lenders' but does not name specific financial institutions involved in the $5.0 billion revolving credit facility.
What are the key terms of the credit agreement beyond the amount and maturity date?
While the filing specifies the $5.0 billion amount and March 29, 2029 maturity date, detailed terms such as interest rates, covenants, and fees are not provided in this 8-K filing and would likely be in the full credit agreement document.
Does this credit facility replace any existing debt or credit lines?
The filing does not explicitly state whether this new $5.0 billion credit facility replaces existing debt or credit lines; it is presented as a new material definitive agreement.
What is the significance of the 'Entry into a Material Definitive Agreement' and 'Creation of a Direct Financial Obligation' items for Enterprise Products Partners L.P.?
These items signify that the company has entered into a significant contract that imposes financial responsibilities, in this case, a $5.0 billion credit facility, which is a key aspect of its financial management and operational capacity.
Filing Stats: 1,006 words · 4 min read · ~3 pages · Grade level 11.2 · Accepted 2024-03-29 16:06:04
Key Financial Figures
- $1.5 billion — Credit Agreement, EPO may borrow up to $1.5 billion (which may be increased by up to $200 m
- $200 million — illion (which may be increased by up to $200 million to $1.7 billion at EPO's election, prov
- $1.7 billion — y be increased by up to $200 million to $1.7 billion at EPO's election, provided certain con
Filing Documents
- d808812d8k.htm (8-K) — 32KB
- d808812dex101.htm (EX-10.1) — 580KB
- d808812dex102.htm (EX-10.2) — 44KB
- 0001193125-24-082054.txt ( ) — 914KB
- epd-20240329.xsd (EX-101.SCH) — 3KB
- epd-20240329_lab.xml (EX-101.LAB) — 18KB
- epd-20240329_pre.xml (EX-101.PRE) — 11KB
- d808812d8k_htm.xml (XML) — 4KB
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 10.1 364-Day Revolving Credit Agreement, dated as of March 29, 2024, by and among Enterprise Products Operating LLC, as Borrower, the Lenders party thereto, Citibank, N.A., as Administrative Agent, and certain financial institutions named therein, as Co-Syndication Agents and Co-Documentation Agents. 10.2 Guaranty Agreement, dated as of March 29, 2024, by Enterprise Products Partners L.P. in favor of Citibank, N.A., as administrative agent. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 3
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. ENTERPRISE PRODUCTS PARTNERS L.P. By: Enterprise Products Holdings LLC, its General Partner Date: March 29, 2024 By: /s/ R. Daniel Boss Name: R. Daniel Boss Title: Executive Vice President and Chief Financial Officer 4