NGL Energy Partners LP Announces That It Has Consummated the Transaction with ArcLight Capital Partners
NGL Energy Partners LP (NYSE:NGL) today announced that on February 1,
2016, it closed the sale of its interest in TransMontaigne GP LLC
(“TLPGP”) to Gulf TLP Holdings, LLC, an affiliate of ArcLight Capital
Partners (“ArcLight”) for $350 million in cash. TLPGP is the general
partner of TransMontaigne Partners L.P., a Delaware master limited
partnership (“TLP”) and holds the 2% general partner interest and
incentive distribution rights of TLP.
NGL will use the cash proceeds to repay borrowings outstanding on its
revolving credit facility.
The TransMontaigne marketing business is a significant part of NGL’s
refined products business and remains with NGL uninterrupted by this
transaction. NGL will retain TransMontaigne Product Services LLC, its
customer contracts and its line space on the Colonial and Plantation
NGL will retain approximately 3.2 million common units it owns in TLP
and has granted an option to ArcLight to purchase 800,000 of those
common units at a future date.
UBS Investment Bank and BNP Paribas served as NGL’s financial advisors
and Winston & Strawn LLP served as NGL’s legal counsel.
About NGL Energy Partners LP
NGL Energy Partners LP is a Delaware limited partnership. NGL owns and
operates a vertically integrated energy business with five primary
businesses: crude oil logistics, water solutions, liquids, retail
propane and refined products and renewables. For further information
visit NGL’s website at www.nglenergypartners.com.
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Copyright Business Wire 2016
Source: Business Wire
(February 2, 2016 - 8:30 AM EST)
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