Published on 11 Jan 2022 on Zacks via Yahoo Finance

Enterprise (EPD) Signs $3.25B Deal to Buy Navitas Midstream

Enterprise Products Partners LP EPD recently announced an agreement to acquire Navitas Midstream Partners, LLC, from an affiliate of Warburg Pincus LLC. The transaction, likely to get completed by the first quarter of 2022, will be debt free and the cash consideration is set at $3.25 billion.

With the accord, Enterprise Products is entering the prolific Midland basin and will capitalize on the mounting demand for natural gas infrastructure. In the core of the basin, a sub-basin of the broader Permian, Navitas Midstream, provides services related to natural gas gathering, treating and processing.

The assets of Navitas Midstream that Enterprise Products is expected to acquire include pipeline networks, spreading across roughly 1,750 miles along with a cryogenic natural gas processing capacity of more than 1 billion cubic feet per day.