NGL Energy Partners LP Announces Closing of Retail Propane Sale for $900 Million
July 10 2018 - 9:50AM
Business Wire
NGL Energy Partners LP (NYSE:NGL) (“Partnership”) today
announced that it has closed the previously announced transaction
to sell the remainder of its Retail Propane business to Superior
Plus Corp. (“Superior”) (TSX:SPB) for $900 million in cash
proceeds, adjusted for working capital.
In May 2018, NGL announced its strategic decision to completely
exit the Retail Propane business and re-deploy capital at a
comparatively higher rate of return in its Water Solutions and
Crude Logistics businesses. In total, the Partnership generated
over $1.1 billion of gross cash proceeds on the sale of its retail
propane assets. NGL plans to immediately repay indebtedness under
its Credit Facility using the proceeds from the sale, which can
subsequently be re-borrowed for other debt repayment and to fund
growth capital expenditures.
Forward-Looking Statements
Certain matters contained in this Press Release include
"forward-looking statements." All statements, other than statements
of historical fact, included in this Press Release may constitute
forward-looking statements. Although we believe that the
expectations reflected in these forward-looking statements are
reasonable, we cannot assure you that these expectations will prove
to be correct. These forward-looking statements are subject to
certain known and unknown risks and uncertainties, as well as
assumptions that could cause actual results to differ materially
from those reflected in these forward-looking statements. Factors
that might cause actual results to differ include, but are not
limited to, the risk factors discussed from time to time in each of
our documents and reports filed with the SEC.
Readers are cautioned not to place undue reliance on any
forward-looking statements contained in this Press Release, which
reflect management's opinions only as of the date hereof. Except as
required by law, we undertake no obligation to revise or publicly
release the results of any revision to any forward-looking
statements.
About NGL Energy Partners LP
NGL Energy Partners LP is a Delaware limited
partnership. NGL owns and operates a vertically integrated energy
business with four primary businesses: water solutions, crude oil
logistics, NGL logistics and refined products/renewables. For
further information, visit the Partnership's website
at www.nglenergypartners.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20180710005617/en/
NGL Energy Partners LPTrey Karlovich, 918-481-1119Executive Vice
President and Chief Financial
Officertrey.karlovich@nglep.comorLinda Bridges, 918-481-1119Senior
Vice President – Finance and Treasurerlinda.bridges@nglep.com
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