X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Vinson & Elkins and Latham & Watkins have landed roles on the restructuring of a joint venture between their frequent oil and gas clients Energy Transfer Partners (ETP) and general partner Energy Transfer Equity (ETE).

Dallas-based ETP and ETE said Thursday in a joint statement that the former will pay $3.75 billion in cash and stock to acquire the latter’s 60 percent stake in ETP Holdco Corp., a holding company the two companies formed last year. ETP already held the remaining 40 percent stake in ETP Holdco and will now control the holding company outright.

ETP Holdco owns equity interests of natural gas pipeline company Southern Union, which ETE acquired in 2011 for $4.2 billion, as well as oil refiner and gas station operator Sunoco, which ETP bought for $5.3 billion last year.

The transaction’s terms call for ETP to put up $1.4 billion in cash, along with $2.35 billion of its own stock, to acquire the ETP Holdco it doesn’t already own. The deal is expected to close in the second quarter of this year.

ETP and ETE said in a statement that the deal would "simplify [the companies'] structures and optimize their asset portfolios" in line with other recently announced structural changes involving the Southern Union assets. ETP and ETE sold Southern Union’s natural gas gathering systems to affiliate company Regency Energy Partners last month for $1.5 billion, two months after announcing a plan to sell two of Southern Union’s local distribution companies to The Laclede Group in a $1 billion deal.

Both Vinson and Latham have long histories with the Energy Transfer general partners. As The Am Law Daily has previously reported, Thomas Mason, a former partner at both Andrews Kurth and Vinson, has served as Energy Transfer’s general counsel since 2007. Vinson’s past work for the companies includes representing ETE in 2012 when it and ETP (which was represented at the time by Andrews Kurth), acquired an interest in Regency Energy for $300 million.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at customercare@alm.com

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2017 ALM Media Properties, LLC. All Rights Reserved.