DCP Midstream’s $150 Million Preferred Notes Offering


Baker Botts Represents the Underwriters in the transaction

DCP Midstream, LP (NYSE: DCP) (“DCP”) announced the pricing of an underwritten public offering of 6,000,000 of its 7.875% Series B Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (the “Series B Preferred Units”) at a price of $25 per Series B Preferred Unit. DCP also granted the underwriters a 30-day option to purchase up to 900,000 additional Series B Preferred Units. Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co. LLC, RBC Capital Markets, LLC and Wells Fargo Securities, LLC are acting as joint book-running managers of the offering. The offering is expected to close on May 11, 2018, subject to the satisfaction of customary closing conditions.

DCP expects to receive net proceeds of approximately $143.9 million, after deducting the underwriters’ discounts and estimated offering expenses (excluding any proceeds from the exercise of the underwriters’ over-allotment option). DCP intends to use the net proceeds from this offering, including the proceeds from any exercise of the underwriters’ over-allotment option, for general partnership purposes, including the funding of capital expenditures and the repayment of outstanding indebtedness under its revolving credit facility.

Baker Botts advised the underwritersf with a team including Josh Davidson, Sarah E. Berens, Katie Belleville, Hayley Hervieux (Capital Markets), Scott Janoe, Kim Tuthill White (Environmental), Connie Simmons Taylor, Nina Culotta (Real Estate), Greg Wagner, Andrew Stuyvenberg (Regulatory) and T. Chuck Campbell (Tax).

Involved fees earner: Joshua Davidson – Baker Botts; Sarah Berens – Baker Botts; Hayley Hervieux – Baker Botts; Katie Mize Belleville – Baker Botts; Scott Janoe – Baker Botts; Kimberly Tuthill White – Baker Botts; Consuella Simmons Taylor – Baker Botts; Nina Culotta – Baker Botts; Gregory Wagner – Baker Botts; Andrew Stuyvenberg – Baker Botts; Chuck Campbell – Baker Botts;

Law Firms: Baker Botts;

Clients: Merrill Lynch, Pierce, Fenner & Smith Incorporated; Morgan Stanley; RBC Capital Markets; Wells Fargo Securities;