Energy Transfer Equity LP (NYSE: ETE) completed the final steps of its refinancing transactions, which is expected to reduce its current annual interest expense by over $16 million.

The reduced interest expense is expected to increase ETE’s distributable cash flow per unit by $0.06 on an annualized basis.

These related transactions allow ETE to continue to balance its mix of floating and fixed rate debt and retain flexible prepayable debt in its capital structure.

As previously announced, ETE closed on the tender offer to purchase for cash a portion of its outstanding $1.8 billion of 7.5% senior notes due 2020. The total aggregate principal amount of 2020 notes validly tendered and not validly withdrawn was $613 million, representing 34% of the outstanding 2020 notes. The remaining balance of the 2020 notes is now $1.187 billion.

ETE also completed a public offering of $450 million in aggregate principal amount of 5.875% senior notes due 2024 and refinanced its existing $900 million term loan and $200 million revolving credit facilities.

ETE used the net proceeds from the notesoffering, together with a portion of the borrowings under its new $1 billion term loan credit facility and new $600 million revolving credit facility, to fund the aggregate consideration for the tender offer.

The refinancing of the term loan facility extended the maturity from March 2017 to December 2019, and reduced the interest rate on borrowings by 0.5% per year.

The refinancing of the revolving credit facility extended the maturity from September 2015 to December 2018, with an option for the partnership to extend the term, subject to certain terms and conditions, until December 2020. The new revolving credit facility also contains an accordion feature that allows ETE to increase the size of the facility to $1 billion.

With the completion of these refinancing transactions, ETE has achieved multiple goals of extending out its current maturities, materially reducing the size of the maturity tower in December 2020 and reducing its overall actual interest expense.

Energy Transfer Equity LP provides diversified energy-related services in the U.S. The company is based in Dallas.