Martens PLLC Attorney At Law
Martens PLLC Attorney At Law

Trusted Law Firm Serving All Of North Dakota

Local

TOLL FREE

Make Payment | Visa | Mastercard | Discover | American Express | LawPay

Offering Efficient, Cost-Effective Representation

Start Today With Your Initial Consultation

Hess, Global Infrastructure Partners To Form Joint Venture

On Behalf of | Jun 17, 2015 | Uncategorized

Hess Corporation has agreed to farm out a stake of 50% in its Bakken midstream assets to Global Infrastructure Partners. The transaction is valued at $2.675 billion.

Hess and Global Infrastructure Partners will join hands to form a premier midstream joint venture, which will be named Hess Infrastructure Partners.

On completion of the transaction, the joint venture will assume a debt of $600 million through a five-year Term Loan A facility. The proceeds will be divided equally among both the partners. This will result in total after-tax cash proceeds, net to Hess, of $3.0 billion. Moreover, the joint venture will gain independent access to capital comprising a $400 million five-year Senior Revolving Credit Facility, which is fully committed. Post completion, the joint venture intends to continue with a planned initial public offering (IPO) of Hess Midstream Partners LP common units.

Read more at Zacks and other energy related market news on Nasdaq.