graphic
News > Deals
Pipeline firms hook up
October 20, 1997: 9:42 a.m. ET

Kinder Morgan acquiring Santa Fe Pacific Pipeline assets for $1 billion
graphic
graphic graphic
graphic
NEW YORK (CNNfn) - Two energy pipeline companies, Kinder Morgan Energy Partners and Santa Fe Pacific Pipeline Partners, announced plans Monday to hook up in a deal worth $1 billion.
     Santa Fe shareholders will get 1.39 shares of Kinder Morgan for each of their own shares, a premium of about 28 percent over Santa Fe's recent stock price.
     Kinder Morgan will acquire all the assets of Santa Fe through the stock swap and will pay $85 million for Santa Fe's general partner interests.
     In addition, Kinder Morgan said it will invest approximately $20 million in Santa Fe Pacific.
     Kinder Morgan has been looking to expand into the Western United States and Santa Fe's 3,300 miles of pipeline in six states in that region will help with that effort, Kinder Morgan said.
     The companies also said they expect the elimination of duplicate functions and consolidation of others to improve operations.
     Kinder Morgan is valued at more than $650 million and operates two natural gas pipeline systems, a carbon dioxide pipeline, and two rail-to-barge coal transfer facilities.
     The merger still requires shareholder and regulatory approval, a process the companies expect to complete by the first quarter of 1998.Back to top

  RELATED STORIES

GPU wins PowerNet bid - Oct. 13, 1997

  RELATED SITES

Kinder Morgan


Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney




graphic

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.