Santos lines up Quadrant acquisition funds

Australian LNG player Santos has priced its $600 million bond transaction set to be partly used for funding the Quadrant Energy acquisition. 

Santos said on Thursday the bonds will be issued by Santos Finance Limited, a Santos unit, off the Company’s Euro Medium Term Note Programme (EMTN Programme).

The bonds have been priced at a fixed coupon of 5.25%, for a period of 10 years, maturing on 13 March 2029. The book was approximately five times oversubscribed and received strong support from a mix of global asset managers and insurance companies from Asia, Australia and Europe.

The use of proceeds from the bonds will include refinancing the US$500 million bridge facility used to part-fund the Quadrant Energy acquisition and general corporate purposes.

Settlement of the bonds is expected to occur on March 13, 2019, Santos said.