The partnership intends to use the net proceeds of the offering to reduce its $450 million term loan, and Alon USA will own an 84.0% limited partner interest in Alon Partners. If the overallotment is taken in full, it will be an 81.6% limited partner interest ownership. Alon USA will own 100% of the general partner interest in Alon Partners.
Goldman Sachs, Credit Suisse Securities and Citigroup were acting as joint book-running managers in this offering. Jefferies & Company is acting as lead managing underwriter, and Macquarie Capital and Tudor Pickering Holt & Co. were the co-managers. The underwriters have an overallotment option to purchase an additional 1,500,000 common units in full.
The price on these units is now around $17.50 with nearly 3 million units changing hands.
JON C. OGG