Reliance Industries announces completion of sale of interest in EFS Midstream LLC

Receives net proceeds of $528 million in first tranche

Reliance Industries announced that its subsidiary, Reliance Holding USA, Inc. has closed the sale of its interest in EFS Midstream LLC (EFS) to an affiliate of Enterprise Product Partners L.P.

The transaction closed on 08 July 2015 with the effective date for the transaction being 01 July 2015. Under the terms of the definitive agreements, Reliance received gross cash consideration of $574 million towards first tranche of sale proceeds. Following retirement of debt at EFS level and other adjustments customary for similar transactions, Reliance received net proceeds of $528 million on 08 July 2015. The final tranche of payment of $499 million in cash is expected to be received on or before the first anniversary of the closing date.

In May 2015, Reliance and Poineer Natural Resources Company agreed to sell their respective ownership interest (of 49.9% and 50.1%) in EFS to an affiliate of of Enterprise Product Partners L.P. for an aggregate consideration of $ 2150 million.

Powered by Capital Market - Live News