Terms

Series

9.50% Series B Fixed Rate Cumulative Redeemable Perpetual Preferred Units

Liquidation Preference

$25.00

Coupon Rate

9.5%

Rate Type

Fixed

Annual Dividend

$2.38

Payment Frequency

Quarterly

Cumulative

Yes

Perpetual

Yes

Convertible

Yes

Callable

Yes

First Call Date

May 15, 2026

First Call Price

$25.00

Redemption Notice Period

30 days

Capital Stack Ranking

Junior To: All Existing And Future Indebtedness And Other Liabilities, Senior Securities (Future Equity Securities Expressly Made Senior); Pari Passu With: Series A Preferred Units, Parity Securities (Future Equity Securities Expressly Made Pari Passu); Senior To: Common Units, Idrs, Junior Securities (Future Equity Securities Expressly Made Junior)

Regulatory (Basel III) Call

No

Tax Classification

Mlp K1

Qualifies for QDI

No

Qualifies for DRD

No

Shares Offered

3,000,000

Prospectus Summary

Global Partners LP is offering 3,000,000 units of its 9.50% Series B Fixed Rate Cumulative Redeemable Perpetual Preferred Units at a liquidation preference of $25.00 per unit, listed on the NYSE under 'GLP pr B.' The units pay a fixed annual distribution of $2.375 per unit ($0.59375 quarterly), callable at par on or after May 15, 2026. These are cumulative preferred units, meaning that if Global Partners LP does not declare or pay a scheduled distribution, all missed distributions accrue and must be paid in full before any distributions can be made to common unitholders. The Series B Preferred Units sit above common units and future junior equity in the capital stack, and rank pari passu with the existing Series A Preferred Units. However, they are expressly junior to all existing and future indebtedness — including ~$1.0 billion of outstanding debt comprising a revolving credit facility and senior notes due 2027 and 2029. As a master limited partnership, Global Partners LP has no bank subsidiary, so there is no structural subordination in the bank holding company sense; rather, all debt holders have a direct prior claim on partnership assets. There is no regulatory capital redemption provision, as this issuer is not a regulated financial institution. A Change of Control optional redemption at $25.00 is available within 120 days of the triggering event. At the $25.00 offering price, the Series B Preferred Units yield exactly 9.50% per annum. Distributions are paid quarterly on February 15, May 15, August 15, and November 15, with record dates set at the opening of business on the first day of the applicable payment month (approximately 14 days before payment). Critically, these distributions are treated as guaranteed payments for use of capital for U.S. federal income tax purposes — taxable as ordinary income, not as qualified dividends — meaning they do not qualify for the 15%/20% preferential QDI rate or the corporate dividends-received deduction. Holders are taxed on the accrual of guaranteed payments even without cash receipt. Common unit distributions are blocked if cumulative Series B distributions are in arrears.

Summarized from the SEC prospectus filing.

Distribution History

Conversion Terms

Ranking vs. Other Preferreds

Dividend Stopper Provisions

Dividend Stopper Description

If the Series B Preferred Units have accumulated unpaid distributions, Global Partners LP may not pay any distributions on common units or other junior securities until all cumulative distributions on the Series B Preferred Units (and any parity securities) have been paid or provided for.

Div Score Breakdown

Reinvesty's multi-factor safety analysis for this preferred, composite score: 58 (Average)