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Big Law

BP Will Buy Out the U.S. Pipeline Partnership For $723 Million

BP will acquire the remaining stake in its U.S. pipelines partnership BP Midstream Partners LP that it doesn’t already own in a more than $700 million deal, as the energy giant looks to simplify its structure.

The company said on Monday BP Midstream unitholders will receive 0.575 of a BP American depositary share for each unit they hold, translating to a total price of about $723 million for the deal, according to Reuters calculations. BP already owns roughly 54% of the partnership, Refinitiv data shows.

BP created BP Midstream Partners as a master limited partnership (MLP) to own, operate, and buy mainly fee-based oil-transporting pipelines and storage assets. It made an offer in August to buy the remainder of BP Midstream.

Read the source article at Yahoo Finance

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