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Energy Transfer has completed its previously announced acquisition of Crestwood Equity Partners, according to a Nov. 3 press release. The merger was approved by Crestwood unitholders at the company’s Oct. 30 special meeting.
Energy Transfer now owns and operates more that 125,000 miles of pipelines across the U.S.
Both companies’ combined operations are expected to generate initial annual run-rate cost and efficiency synergies of at least $40 million before additional anticipated benefits, the release stated.
According to the release, Crestwood’s common and preferred units ceased trading on the New York Stock Exchange effective Nov. 3. Crestwood common unit holders received 2.07 of Energy Transfer common units per Crestwood common unit.
The release added that each outstanding Crestwood preferred unit was either converted into a new preferred unit of Energy Transfer— including similar economic and structural protection terms—that is redeemed in exchange for $9.86 in cash plus accrued and unpaid distributions to the date of such redemption.
Or the Crestwood preferred unit is converted into a common unit at the then- applicable conversion ratio of one Crestwood common unit for ten preferred units—and such Crestwood common units then received the Common Unit Merger Consideration.
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