Plains All American’s Renewal and Extension of Credit Facilities

Holland & Knight advised Bank of America, N.A. on the deal.

Plains All American Pipeline and Plains GP Holdings (Nasdaq: PAA & PAGP) announced that PAA has renewed and extended its two credit facilities (the “Facilities”). The renewed and extended Facilities have an aggregate initial borrowing capacity of $2.7 billion and initial maturities in 2024 and 2026, replacing the previous facilities that were scheduled to mature in 2022 and 2024, respectively.

The new Facilities consist of a $1.35 billion Senior Unsecured Revolving Credit Facility with an initial maturity in August 2026 and a $1.35 billion Senior Secured Hedged Inventory Facility with an initial maturity in August 2024. The Facilities provide for one or more one-year extensions and have accordion features which, subject to receipt of incremental lender approval and other terms and conditions, permit PAA to increase borrowing capacity to $2.1 billion and $1.9 billion, respectively.   The Facilities will be used for general corporate purposes and replace PAA’s previous credit facilities that had aggregate borrowing capacities of $1.6 billion and $1.4 billion and maturity dates in August 2024 and August 2022, respectively.

Funding for the Facilities was led by Bank of America, N.A. as Administrative Agent, with Citibank, N.A., JPMorgan Chase Bank, N.A. and Wells Fargo Bank, National Association also serving as Co-Syndication Agents. 

PAA is a publicly traded master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil, natural gas liquids (NGL), and natural gas. 

The Holland & Knight team was led by Partner Andrew Flint (Picture). He was assisted by Associates Parker Pritchett and Austin Jacobs.  

Involved fees earner: Andrew Flint – Holland & Knight; Austin Jacobs – Holland & Knight; Parker Pritchett – Holland & Knight;

Law Firms: Holland & Knight;

Clients: Bank of America;

Author: Martina Bellini