Oneok subsidiary sets pricing for $2 billion debt tender offer
Oneok subsidiary OpCo prices cash tender offers for 20 series of senior notes up to a $2 billion aggregate cap.
ONEOK, Inc. (OKE) said Tuesday that its indirect subsidiary, ONEOK, L.L.C., set the pricing terms and announced early results for its cash tender offers targeting up to an aggregate purchase price of $2 billion in senior notes.
Key takeaways
- Subsidiary OpCo set pricing terms for 20 series of senior notes maturing between 2029 and 2064.
- Tender offers reached the $2 billion aggregate maximum tender amount by the early tender deadline.
- Early settlement date is expected to occur on September 17, 2026.
- Barclays Capital Inc. is serving as the dealer manager for the tender offers.
Tender terms and early results
According to a regulatory filing, the tender offers expired for early consideration purposes at 5:00 p.m., New York City time, on September 14, 2026. Because valid tenders by the early deadline reached the $2 billion aggregate maximum tender amount, OpCo does not expect to accept any tenders submitted after the early deadline. Any notes tendered after the deadline will be returned to holders through the Depository Trust Company.
The early tender consideration for each $1,000 principal amount of notes was determined by reference to a fixed spread over a specific reference U.S. Treasury security. In addition to the early tender consideration, holders will receive accrued and unpaid interest from the last interest payment date up to, but not including, the early settlement date.
Acceptance priority levels
The tender offers applied an acceptance priority level ranging from 1 to 20. Notes accepted for purchase include $368,067,000 of the 3.950% senior notes due 2050, $197,563,000 of the 4.200% senior notes due 2047, $100,821,000 of the 4.500% senior notes due 2050, $63,789,000 of the 4.200% senior notes due 2045, $203,342,000 of the 4.250% senior notes due 2046, $85,954,000 of the 4.450% senior notes due 2049, $25,679,000 of the 4.200% senior notes due 2042, $195,395,000 of the 4.850% senior notes due 2049, $158,978,000 of the 4.950% senior notes due 2047, $166,881,000 of the 5.050% senior notes due 2045, $369,646,000 of the 5.200% senior notes due 2048, $149,698,000 of the 5.150% senior notes due 2043, $296,908,000 of the 5.450% senior notes due 2047, and $79,760,000 of the 5.700% senior notes due 2054.
Lower priority tiers, including the 5.850% senior notes due 2064, 5.600% senior notes due 2044, 3.100% senior notes due 2030, 3.250% senior notes due 2030, 3.400% senior notes due 2029, and 5.050% senior notes due 2034, received no accepted purchases due to proration under the aggregate maximum tender amount.
Why it matters
The tender offers allow the company to retire portions of its outstanding debt securities across multiple maturities. The notes are fully and unconditionally guaranteed by ONEOK as parent guarantor following recent reorganization transactions.
By the numbers
| Metric | Value | Source |
|---|---|---|
| Aggregate Maximum Tender Amount | $2 billion | Filing statement |
| Early Tender Deadline | September 14, 2026 | Filing statement |
| Early Settlement Date | September 17, 2026 | Filing statement |
| Expiration Time | September 29, 2026 | Filing statement |
Settlement and expiration timeline
All conditions of the tender offers were satisfied or waived by OpCo. Payment for notes validly tendered at or prior to the early tender deadline will occur on the early settlement date, expected on September 17, 2026.
Although the offers were originally scheduled to expire on September 29, 2026, the company will not accept further tenders because the aggregate maximum tender amount was reached at the early deadline.