American Midstream Acquires Blackwater Midstream from Affiliate of ArcLight Capital Partners for $60M

American Midstream Partners

today announced the execution of a merger agreement to acquire Blackwater Midstream Holdings, LLC, a developer and operator of terminal storage facilities (“Blackwater”), from an affiliate of ArcLight Capital Partners, LLC (“ArcLight”) for an aggregate purchase price of $60 million, subject to certain purchase price adjustments. The purchase price is payable in a combination of cash and approximately $3.0 million of American Midstream common units, and the aggregate consideration includes the payoff of existing indebtedness of Blackwater. Blackwater generated annualized Adjusted EBITDA of approximately $7.7 million based on the quarter ended September 30, 2013, and the Partnership expects Blackwater's annualized EBITDA to remain approximately the same in the fourth quarter of 2013