09:09 AM EDT, 04/16/2024 (MT Newswires) -- Sunoco LP ( SUN ) said Tuesday it is initiating a private offering of $750 million of senior notes due 2029 and $750 million of senior notes due 2032.

Sunoco ( SUN ) intends to use the proceeds from the offering to repay the debts of NuStar Energy ahead of a pending acquisition of the company, redeem NuStar's preferred shares and warrants, and pay for fees and expenses associated with the debt placement.

The company said the offering is not contingent on the closing of the NuStar merger but will be subject to a mandatory redemption at a price equal to 100% of the initial issue price of the notes plus accrued and unpaid interest should the merger fail to close.