Hess Midstream Partners LP priced its upsized IPO of 14.78 million common units representing limited partner interests at $23 each. Gross proceeds will be about $339.9 million.
Initially, 12.5 million units were offered between $19 and $21. Underwriters received a 30-day option to purchase about 2.21 million units at the initial price.
Units will begin trading April 5 on the New York Stock Exchange under the ticker "HESM."
The offering is expected to close on April 10. Upon closing, the public will hold an approximate 26.5% limited partner interest. If the underwriters exercise the option in full, that interest will be an approximate 30.5%.
Hess Corp., through certain subsidiaries, and Global Infrastructure Partners II and its affiliates will each own 50% of the remaining interest. Hess Infrastructure Partners LP, a joint venture 50% owned by Hess and 50% owned by GIP, will own all of the equity interests in the partnership's general partner and all of the partnership's incentive distribution rights.
Goldman Sachs & Co., Morgan Stanley, Citigroup, J.P. Morgan, MUFG and Wells Fargo Securities are book-running managers. Barclays, HSBC, ING Financial Markets, Scotia Howard Weil, SMBC Nikko and TD Securities are co-managers.
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