Summary
This 8-K/A filing by Energy Transfer Equity, L.P. (ETE) serves as an amendment to a previous 8-K report, primarily to provide the necessary financial statements and pro forma information related to the acquisition of Transwestern Pipeline Company, LLC (Transwestern) by its subsidiary, Energy Transfer Partners, L.P. (ETP). The acquisition, which closed on December 1, 2006, involved a complex series of transactions valued at approximately $1.465 billion. ETP financed a significant portion of this acquisition through a $1.2 billion cash contribution from ETE in exchange for newly issued Class G Units of ETP. Transwestern Pipeline is a significant interstate natural gas pipeline system spanning approximately 2,500 miles. It connects major supply basins in the San Juan, Anadarko, and Permian Basins to key markets across the Midwest, Texas, Arizona, New Mexico, and California. This strategic acquisition, including the integration with ETP's existing intrastate pipelines in West Texas, is expected to enhance ETP's market reach and operational footprint within the natural gas midstream sector.
Key Highlights
- 1Energy Transfer Partners, L.P. (ETP), a subsidiary of Energy Transfer Equity, L.P. (ETE), has completed its acquisition of Transwestern Pipeline Company, LLC (Transwestern).
- 2The acquisition was finalized on December 1, 2006, through a series of transactions initiated in November 2006.
- 3The total value of the Transwestern acquisition is approximately $1.465 billion.
- 4ETP funded a substantial portion of the acquisition, $1.2 billion, through a cash contribution from ETE in exchange for ETP's Class G Units.
- 5Transwestern operates a significant 2,500-mile interstate natural gas pipeline system connecting major supply basins (San Juan, Anadarko, Permian) to diverse end markets.
- 6This filing supplements a prior 8-K by providing the required financial statements of Transwestern and pro forma financial information for ETE.
- 7The acquisition is expected to expand ETP's midstream infrastructure and market access.