#United States #Senior Notes #Suburban Propane #Whippany #Private Offering

Suburban Propane Partners, L.P. Announces Proposed Private Offering of Senior Notes

On December 8, 2025, Suburban Propane Partners, L.P., a well-known entity in the propane distribution sector, disclosed its intentions to conduct a private offering of senior notes amounting to $350 million, which are due in 2035. This strategic move aims to significantly bolster their financial health while aligning with favorable market conditions. The proposal is particularly notable as it seeks to address existing debt obligations, specifically the redemption of outstanding senior notes due in 2027.

Overview of the Offering

The senior notes, referred to as the '2035 Senior Notes', will be co-issued alongside Suburban Energy Finance Corp., a wholly owned subsidiary of Suburban Propane. The net proceeds from this offering are earmarked for redeeming all existing $350 million of outstanding senior notes, which carry a 5.875% interest rate. The company does emphasize, however, that market conditions will ultimately dictate the final decision regarding the issuance and sale of these debt securities.

It's important to note that the sale of the 2035 Senior Notes will be restricted to qualified institutional buyers in the United States under Rule 144A of the Securities Act. Moreover, they will also be made available to foreign investors in compliance with Regulation S, ensuring that the offering remains exclusive and compliant with necessary legal frameworks. Notably, the company underscores that these notes have not received registration under the Securities Act or any other jurisdiction's securities laws, indicating a careful navigation through financial regulations.

Commitment to Sustainability and Community

Suburban Propane Partners, headquartered in Whippany, New Jersey, has built a robust reputation since its inception in 1928 as a leading distributor of propane and related products, serving 1 million customers across 42 states. The company prides itself on a legacy dedicated to customer service, safe operations, and community engagement, focusing on three core pillars: Excellence in customer service, community responsibility through its SuburbanCares initiative, and a commitment to promoting renewable energy solutions.

This financial maneuver comes in tandem with the firm’s continuous promises to innovate and invest in low-carbon alternatives, highlighting its proactive approach towards sustainability in the energy sector. By focusing on renewable propane and natural gas, Suburban Propane seeks to establish not only a sustainable business model but also to reinforce its role as a responsible corporate entity.

The Road Ahead

As with any financial undertaking, uncertainties abound, particularly regarding how market dynamics will unfold in the coming months. The company has expressed that the successful completion of their offering hinges on multiple variables, encompassing market conditions and financial performance metrics. Additionally, the firm's projections and statements rely heavily on assumptions that may alter with changing circumstances.

While the immediate goal is to enhance liquidity and manage existing debts effectively, investors and stakeholders will be keenly observing how this offering unfolds, alongside the company’s performance in a competitive energy landscape. As Suburban Propane steps into this bold new phase, the commitment to both financial solidity and community welfare remains paramount.

In preparation for what lies ahead, Suburban Propane encourages interested parties to keep an eye on any forthcoming updates, especially concerning the execution of this significant financial strategy. Investors are reminded that this announcement serves solely for informational purposes and should not be construed as an offer to buy or sell any securities.

For anyone looking to delve deeper into Suburban Propane and its financial strategies, further information can be found on their official website, which encapsulates their dedication to service and customer commitment.