Key Developments: Kinder Morgan Management LLC (KMR)
28 Aug 2014
Latest Key Developments (Source: Significant Developments)
Kinder Morgan, Inc:Says that it will acquire all of the outstanding equity securities of Kinder Morgan Energy Partners, L.P.(KMP), Kinder Morgan Management, LLC (KMR) and El Paso Pipeline Partners, L.P. (EPB).The company unitholders will receive 2.1931 KMI shares and $10.77 in cash for each KMP unit.Says this results in a price of $89.98 per unit, a 12 percent premium based on the Aug. 8, 2014, closing prices.Says this is a premium of 11.4 percent based on the July 16 closing price reference date used by the parties during the negotiation of the transaction.KMR shareholders will receive 2.4849 KMI shares for each share of KMR.Says this results in a price of $89.75 per share, a 16.5 percent premium based on the Aug. 8, 2014, closing prices.Says this is a premium of 16 percent based on the July 16 reference date used by the parties in the negotiation.Says the parties negotiated consideration for KMR shares equal to the consideration for KMP units, using the July 16 reference date.EPB unitholders will receive .9451 KMI shares and $4.65 in cash for each EPB unit.Says this results in a price of $38.79 per unit, a 15.4 percent premium based on the Aug. 8, 2014, closing prices. Full Article
Kinder Morgan Management LLC reported in its Form 8-K that effective March 31, 2013, C. Park Shaper will resign from his positions as President and Director of Kinder Morgan Management, LLC (KMR). Steven J. Kean, currently Executive Vice President and Chief Operating Officer of KMR, will become President and Chief Operating Officer and a Director of KMR, effective March 31, 2013. Full Article
Kinder Morgan Management LLC Announces Exercise of Underwriters’ Option to Purchase Additional Shares
Kinder Morgan Management LLC announced that the underwriters of its recently completed public offering of 8,800,000 shares have exercised in full their option to purchase an additional 1,320,000 shares. Barclays and BofA Merrill Lynch acted as joint book-running managers, and Credit Suisse, Deutsche Bank Securities, J.P. Morgan, RBC Capital Markets and UBS Investment Bank acted as co-managers for the offering. The exercise price for the additional shares is $71.85 per share, the same as the price at which the 8,800,000 shares were sold to the underwriters. Total net proceeds from the sale of the 10,120,000 shares are approximately $726.9 million. KMR intends to use all of the proceeds from the sale of shares to purchase a corresponding number of i-units from Kinder Morgan Energy Partners, L.P., and KMP plans to use the proceeds from KMR’s purchase of such i-units to pay a portion of the purchase price for its recently completed drop down transaction. Full Article
HOUSTON/NEW YORK - The biggest U.S. pipeline company, Kinder Morgan Inc , will be better able to acquire rivals after it consolidates as a single company and buys out investors in its publicly traded units for $44 billion, its CEO said on Monday.