Investment vehicles that funneled more than $100 billion into U.S. pipelines, storage and other facilities during the shale boom now face an existential crisis.
Lipschultz will leave KKR this month to start the new fund with Doug Ostrover, a former executive of private equity firm Blackstone, who helped to found its credit business, GSO Capital.
Net proceeds will be about $1.6 billion, $140 million more than the amount expected due to additional commitments. The proceeds will support capex, debt payments and general partnership purposes.
The transaction is scheduled to close before the end of first-quarter 2016, subject to CenterPoint’s completion of its review of Enable’s audited year-end 2015 financial statements and other conditions.
Neal Shear, chairman of the board and interim CEO, said when the transaction closes and CCTP and SPLNG obligations are paid, Cheniere Partners’ earliest debt maturity will be in 2020.
The firm plans to raise $130 million through the offering of 13 million units sold at $10 per unit, according to Securities and Exchange Commission filings on Jan. 19.
Kinder Morgan, the largest energy infrastructure company in North America, cut its 2016 capital budget to $3.3 billion from its previous estimate of $4.2 billion.
Proceeds will reduce debts under credit facilities and support capex and working capital requirements for 2016 capital program. Shares began trading on the Toronto Stock Exchange under the ticker “PPL.PR.K.”
From Jan. 4 to Jan. 11, Berkshire Hathaway paid about $390 million for additional 5.1 million shares of Phillips 66, according to filings with U.S. Securities and Exchange Commission, Reuters reported.
Stan Shipley, Evercore ISI strategist, said ballooning junk bond spreads were false recession signals in years past. He said energy, steel, mining and paper industries drive current widening in spreads, Reuters reported.
Southcross and Southcross Holdings LP retained Kirkland & Ellis LLP as legal adviser, and Houlihan Lokey Inc. as financial adviser, regarding potential strategic alternatives and capital structure matters.
Primary purchasers include affiliates of EnCap Investments LP, EnCap Flatrock Midstream, The Energy Minerals Group, Kayne Anderson Capital Advisors LP and First Reserve Advisors LLC.