Plains All American Pipeline LP closed the sale of about 61 million units of a newly authorized series of 8% Series A preferred units priced at $26.25 each, the company said Jan. 29.

Net proceeds will be about $1.6 billion, $140 million more than the amount expected on Jan. 12 due to additional commitments. The proceeds will support capex, debt payments and general partnership purposes.

Primary purchasers included affiliates of EnCap Investments LP, EnCap Flatrock Midstream, The Energy & Minerals Group, Kayne Anderson Capital Advisors LP, First Reserve Advisors LLC and Stonepeak Partners LP.

After two years, the units can be converted into common units on a one-for-one basis.

Plains All American Pipeline LP is based in Houston.