8-KEarnings & ResultsMaterial AgreementsSecurities & Listing+1

Energy Transfer LP 8-K Report, Material Agreement (Nov 30, 2006)

Filed November 30, 2006For Securities:ETET-PI

Summary

Energy Transfer Equity, L.P. (ETE) filed this Form 8-K on November 30, 2006, to report two primary events. First, the company completed a private placement of 7,789,133 common units to a group of institutional investors on November 27, 2006, raising approximately $213.5 million before expenses. This issuance was conducted under the Section 4(2) exemption from registration requirements, indicating it was not a public offering. Second, in conjunction with this private placement, ETE entered into a Registration Rights Agreement with the institutional investors. This agreement grants the investors the right to require ETE to register their acquired common units for reoffer and resale under the Securities Act of 1933. The filing also includes a press release announcing ETE's financial results for the fiscal year ended August 31, 2006, though the details of those results are not provided within this 8-K document itself.

Key Highlights

  • 1Energy Transfer Equity, L.P. (ETE) completed a private placement of 7,789,133 common units on November 27, 2006.
  • 2The private placement raised approximately $213.5 million in gross proceeds.
  • 3The issuance was made to a group of institutional investors.
  • 4The sale of units was conducted under the exemption provided by Section 4(2) of the Securities Act of 1933.
  • 5ETE entered into a Registration Rights Agreement with the investors, obligating the company to register the resale of these units.
  • 6The 8-K also references a press release (Exhibit 99.2) providing financial results for the fiscal year ended August 31, 2006.

Frequently Asked Questions

Energy Transfer Equity, L.P. raised approximately $213.5 million before expenses through the sale of 7,789,133 common units in the private placement.

The units were sold in reliance on the exemption provided by Section 4(2) of the Securities Act of 1933, which allows for unregistered sales of securities in transactions not involving a public offering, typically to sophisticated investors.

The Registration Rights Agreement gives the institutional investors the right to compel ETE to register their purchased common units. This registration process would allow them to freely resell these units in the public market, providing them with liquidity.

This 8-K filing references a press release (Exhibit 99.2) that announces Energy Transfer's financial results for the fiscal year ended August 31, 2006. However, the specific financial performance details are not included directly in the 8-K document but are available in the referenced press release.