Citigroup and UBS are leading a $1 billion, 364-day bridge financing for Tulsa-based ONEOK. The bridge will provide a portion of the short-term financing needed for its $1.35 billion acquisition of the natural gas liquids assets from several Koch Industries' companies.
More permanent financing is expected to come from a combination of available cash, long-term debt and proceeds from the settlement of equity units in February 2006. The company could also use proceeds from the sale of less strategic assets. Additional short-term financing is expected to come from ONEOK's commercial paper program or its existing $1 billion credit facility.
ONEOK gathers, processes, stores and transports natural gas in the central United States. It is the majority general partner of Northern Border Partners Calls to the company were not returned.