Blackstone offers $19.50 per share in cash to take Tallgrass Energy private, sending the energy company's stock soaring.
Shares of Tallgrass jumped about 34% percent on Wednesday, bringing the stock price close to the level offered as part of the deal. Blackstone is offering to buy the rest of Tallgrass' Class A stock for $19.50 per share in cash.
The investment firm already has a large stake in the energy company, holding 44% of its outstanding equity. The offer represents a 35.9% premium over its closing share price on Tuesday. Tallgrass is a midstream energy company that operates pipelines for crude oil and natural gas. For its most recent quarter, which ended June 30, Tallgrass reported $211 million in revenues.
Tallgrass shares have struggled recently. The stock fell by more than 30% between July 12 and the market close on Tuesday. The Kansas-based company has a market cap of roughly $5.5 billion., the proposed deal would be structured as a merger between Tallgrass and an acquisition vehicle created by Blackstone. The deal would be made through Blackstone's infrastructure group.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Eddie Murphy Hosting 'SNL' For First Time in 35 YearsEddie Murphy returning as 'SNL' host for first time in 35 years as comedy comeback continues.
Read more »
35 Hilarious Tweets That Sum Up Back-To-School Season35 hilarious tweets that sum up back-to-school season
Read more »
Tallgrass Energy receives take-private offer from BlackstoneMidstream energy firm Tallgrass Energy said on Tuesday it had received an offer ...
Read more »
Suncor and Shell urge Canadian regulator to review contentious Enbridge pipeline planTwo major oil companies have asked Canada's energy regulator to urgently re...
Read more »
Boeing faces its first lawsuit from a 737 Max customerA Russian aircraft leasing company that ordered 35 of the jets is suing Boeing, alleging breach of contract in connection with its grounded 737 Max.
Read more »