KMP Closes $3.3 Billion Asset Sale with Tallgrass Energy Partners
Kinder Morgan Energy Partners(NYSE: KMP), today announced that it has closed the previously announced transaction with Tallgrass Energy Partners, LP (Tallgrass) to sell Kinder Morgan Interstate Gas Transmission (KMIGT), Trailblazer Pipeline Company, the Casper-Douglas natural gas processing and West Frenchie Draw treating facilities in Wyoming, and the company's 50 percent interest in the Rockies Express Pipeline (REX). KMP received approximately $1.8 billion in cash from the transaction. Including the proportionate amount of REX debt, this amount is equivalent to a value of $3.3 billion. All proceeds will be used to retire debt.
“The employees of the entities being divested truly went the extra mile to get this transaction across the finish line, and I appreciate their diligence and hard work,” said Kinder Morgan Chairman and CEO Richard D. Kinder. “Furthermore, I want to thank them for their outstanding service as Kinder Morgan employees.”
Tallgrass is owned by The Energy & Minerals Group, Kelso & Company and the management team of Tallgrass, including CEO David G. Dehaemers, Jr.
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