“These transactions further solidify our position as a premier energy infrastructure company by adding complementary assets that enhance our value chain,” Norton said.
Oneok $5.9B Energy Infrastructure Deals : Breakdown of the Deals
Oneok will purchase GIP’s 43% stake in EnLink common units for $3 billion, or $14.90 per unit, reflecting a 12.8% premium over EnLink’s recent closing price. An additional $300 million will be paid for GIP’s 100% interest in EnLink’s managing member. Separately, Oneok will pay $2.6 billion for all equity interests in Medallion.
The two transactions are not cross-conditional and are expected to close in the fourth quarter of 2024, pending regulatory approvals and customary closing conditions.
Industry Impact and Financial Support
Oneok’s $5.9B energy infrastructure deals underscore the company’s strategic focus on expanding its midstream operations. With more than 50,000 miles of pipeline, Oneok is a key player in gathering, processing, and transporting natural gas, crude oil, and related products. These acquisitions come a year after Oneok’s $19 billion purchase of Magellan Midstream Partners.
