Wednesday, January 4, 2012

Enterprise to sell part of Energy Transfer stake for $825.1 million

Enterprise Products Partners L.P. (NYSE: EPD), the largest shareholder of Energy Transfer Equity L.P. (NYSE: ETE), agreed to sell about three-fourths of its stake in the company to unnamed purchasers, saying it will use the $825.1 million in proceeds for general partnership purposes, including funding growth capital projects.

ETE is the general partner of Energy Transfer Partners L.P. (NYSE: ETP), which runs a natural-gas pipeline business.

EPD, a pipeline company, said it plans to sell 22.8 million Energy Transfer units. The deal values Energy's units at about $36.18, or a 9.1 percent discount from the Dec. 23 closing price of $39.80.

EPD would still hold about 6.5 million shares of ETE's units after the sale, which is slated to close in January.

No comments:

Post a Comment