EQT Upsizes Tender Offer for Senior Notes in Early Results Announcement

On December 10, 2024, EQT Corporation made an early announcement regarding the results and upsizing of a previously disclosed tender offer by its indirect wholly owned subsidiary, EQM Midstream Partners, LP (“EQM”), aimed at acquiring EQM’s outstanding Senior Notes. The announcement also included details about the related solicitation by EQM of consents from holders of certain notes for proposed amendments to reporting covenants.

The Tender Offer was adjusted to increase the maximum aggregate purchase price, excluding accrued and unpaid interest, for the Notes from $1.275 billion to $1.3 billion. The Notes involved in the offer include EQM’s 6.500% Senior Notes due 2048, 5.500% Senior Notes due 2028, 4.50% Senior Notes due 2029, and 7.500% Senior Notes due 2030. The solicited consents aimed at amending reporting covenants in the indentures governing the 2028 and 2048 Notes.

Following the Early Tender Date deadline of December 9, 2024, EQM has recorded the principal amount of each series of Notes that were validly tendered. As the aggregate purchase price exceeded the Maximum Aggregate Purchase Price, EQM will accept Notes based on the Acceptance Priority Procedures and proration procedures as outlined in the Offer to Purchase and Consent Solicitation Statement.

The Tender Offer is contingent upon meeting or waiving specific conditions, including financial conditions and the completion of a midstream joint venture transaction between EQM and certain other entities. Withdrawal and revocation rights for the Tender Offer and the Consent Solicitation have expired as of December 9, 2024.

Looking ahead, EQM retains the right to adjust conditions, extend, terminate, or modify the Tender Offer, and Consent Solicitation within the legal constraints. The Tender Offer is projected to conclude by the Expiration Date on December 30, 2024, with potential settlement by December 30, 2024.

Concurrently, EQM is also pursuing consents from holders of the 2028 and 2048 Notes for proposed amendments to the respective indentures. At the Early Tender Date, the Requisite Consents were attained, leading EQM to plan supplemental indenture adjustments post-Expiration Date.

RBC Capital Markets, LLC is serving as the Sole Dealer Manager for the Tender Offer and the Sole Solicitation Agent for the Consent Solicitation. Global Bondholder Services Corporation is the Information Agent and Tender Agent, providing assistance with related materials.

This news release underscores the importance of consulting the official Offer to Purchase and Consent Solicitation Statement for precise details. The announcement is for informational purposes only, and individuals are encouraged to make independent decisions regarding their participation in the Tender Offer and Consent Solicitation.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read EQT’s 8K filing here.

EQT Company Profile

EQT Corporation operates as a natural gas production company in the United States. The company sells natural gas and natural gas liquids to marketers, utilities, and industrial customers through pipelines located in the Appalachian Basin. It also offers marketing services and contractual pipeline capacity management services.