Crestwood Midstream Pays $258 Mln for Remaining Interest in Marcellus Shale Joint Venture; Shares Up 1%
Crestwood Midstream Partners ( CMLP ) has purchased the remaining 65% interest in Crestwood Marcellus Midstream LLC (CMM) from Crestwood Holdings Partners LLC for $258 million. The transaction is expected to be 7%-8% accretive to CMLP's 2013 distributable cash flow on a fully diluted basis and was funded with $129 million of cash drawn on CMLP's existing revolving credit facility and approximately 6.2 million new CMLP Class D units issued to Crestwood Holdings. As a part of the consideration received for the transaction, Crestwood Holdings is maintaining its 2% general partner interest in CMLP.
CMLP is up 0.8% at $23.26, trading in a 52-week range of $19.90 - $30.49. Shares have fallen 28% in the last 12 months.