Teekay LNG Prices Follow-On Public Offering

Teekay LNG is offering 4,000,000 common units at $17.60 per unit.
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Updated from 12:27 p.m. EDT

Teekay LNG Partners

(TGP) - Get Report

announced on Wednesday a public offering of 4,000,000 common units representing limited partner interests at $17.60 per unit. The underwriters have a 30-day option to buy an addition 600,000 units to cover any over-allotments, Teekay LNG said in a news release. The company plans to use the proceeds of the offering, which is expected to close March 30, to repay amounts outstanding on one of its revolving credit facilities, a sticking point for many firms in the

shipping sector

.

The joint book running managers for the offering are

Citi

(C) - Get Report

,

Morgan Stanley

(MS) - Get Report

and

UBS Investment Bank

. The co-managers are

Deutsche Bank Securities

(DB) - Get Report

and

Raymond James & Associates

(RJF) - Get Report

.

Teekay LNG, which provides natural gas, liquefied gas and crude oil marine transportation services, is a master limited partnership formed by

Teekay Corp.

(TK) - Get Report

. Among its competitors are

Frontline

(FRO) - Get Report

and

Overseas Shipholding Group

(OSG) - Get Report

.

Teekay LNG shares fell 3% to $16.98 Tuesday. Teekay Corp. shares, meanwhile, rose 1.6% to $15.86.