ENERGY TRANSFER EQUITY & ENERGY TRANSFER PARTNERS ETE Acquisition of ETP August 2, 2018
TRANSACTION OVERVIEW Energy Transfer Equity, LP (ETE) and Energy Transfer Partners, LP (ETP) have entered into a merger agreement providing for the acquisition of ETP by ETE for 27 billion in ETE stock 1.280x ETE common units for…
STRATEGIC RATIONALE SIMPLIFIES Transaction will simplify Energy Transfers corporate structure OWNERSHIP Further aligns economic interests within the Energy Transfer family STRUCTURE Responsive to investor sentiment regarding…
ILLUSTRATIVE TRANSACTION STRUCTURE 1 ETE acquires all of the outstanding public LP units in ETP in a unit-for-unit exchange at a fixed exchange ratio of 1.280x LE GP Management / Public ETE ETP debt and preferred equity remain in…
ENHANCED PRO FORMA BALANCE SHEET AND LIQUIDITY POSITION CONSERVATIVE AND FLEXIBLE FINANCIAL POLICY DEBT EXCHANGE OVERVIEW Expect to maintain ETE distribution per unit at current level Meaningfully higher retained cash flow to…
ETE CLASS A UNIT OVERVIEW Under the ETE partnership agreement, the general partner of ETE, LE GP, has a contractual right to purchase common units from ETE whenever ETE issues common units so that LE GP can maintain its and its…