Brookfield Infrastructure Partners L.P. (BIP, BIP_U.TO) announced that the company and its institutional partners agreed to acquire 100% of midstream asset portfolio Colonial Enterprises, which includes the Colonial Pipeline, for an enterprise value of approximately $9 billion.
Colonial is comprised of the largest refined products system in the U.S., spanning approximately 5,500 miles between Texas and New York.
At closing, BIP's equity investment is expected to be $500 million, which represents approximately 15% of the total equity investment, funded entirely by proceeds from recently announced capital recycling initiatives.
The transaction is expected to close in the second half of 2025, subject to customary closing conditions.
Debt financing for the transaction was led by Morgan Stanley Senior Funding, Inc. and Mizuho Bank, Ltd., with Morgan Stanley Senior Funding, Inc. acting as sole bookrunner on the term loan facility.
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