Welcome to our dedicated page for Summit Midstream Partners, LP news (Ticker: SMLP), a resource for investors and traders seeking the latest updates and insights on Summit Midstream Partners, LP stock.
Summit Midstream Partners, LP (NYSE: SMLP) is a growth-oriented master limited partnership specializing in developing, owning, and operating midstream energy infrastructure assets strategically located in the core producing areas of unconventional resource basins across the United States. This includes primarily shale formations. SMLP offers natural gas, crude oil, and produced water gathering services through long-term, fee-based gathering and processing agreements with its customers.
SMLP operates across five unconventional resource basins:
- Appalachian Basin: Including the Marcellus and Utica shale formations in West Virginia and Ohio.
- Williston Basin: Including the Bakken and Three Forks shale formations in North Dakota.
- Fort Worth Basin: Including the Barnett Shale formation in Texas.
- Piceance Basin: Including the Mesaverde, Mancos, and Niobrara shale formations in Colorado and Utah.
- Denver-Julesburg Basin: Including the Niobrara and Codell shale formations in Colorado and Wyoming.
The company’s key focus is on delivering reliable and efficient midstream solutions, while their strategic locations enhance accessibility to various production sites. This allows SMLP to facilitate optimal transportation and processing of natural gas, crude oil, and produced water.
Recent achievements include the completion of the strategic alternatives process and the planned conversion to a C-Corp to enhance trading liquidity, expand the investor base, and optimize long-term tax consequences for unitholders. Key projects include the Double E Pipeline, a 135-mile interstate natural gas transmission pipeline from the Delaware Basin to the Waha Hub in Texas. Double E is a joint venture with ExxonMobil, ensuring a robust operational structure.
SMLP's financial stability is highlighted by substantial cash reserves and a fully undrawn $400 million ABL Revolver, which supports ongoing and future projects. The company remains committed to exploring strategic and commercial opportunities, particularly in the Permian and Rockies segments, to drive incremental free cash flow and enhance portfolio value through bolt-on acquisitions and organic growth initiatives.
Summit Midstream Partners, LP (NYSE: SMLP) announced the completion of its conversion from a master partnership to a C-, effective August 1, 2024. The new entity, Summit Midstream , will trade on the NYSE under the ticker symbol "SMC". This Corporate Reorganization, approved by unitholders on July 18, 2024, involves exchanging each of the 10,648,685 outstanding common units for one share of common stock in New Summit. Additionally, 65,508 9.50% Series A Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units will be exchanged for equivalent shares of Series A Preferred Stock. The Series A Preferred Stock will not be listed on any securities exchange.
Summit Midstream Partners, LP (NYSE: SMLP) announced the results and pricing of its cash tender offer for its subsidiaries' 8.500% Senior Secured Second Lien Notes due 2026. The tender offer expired on July 23, 2024, with $649,805,000 or 85.00% of the $764,464,000 outstanding notes validly tendered. The purchase price is set at $1,029.64 per $1,000 principal amount of notes, plus accrued interest. The settlement date is expected to be July 26, 2024.
The offer is funded by the sale of $575,000,000 in aggregate principal amount of new 8.625% Senior Secured Second Lien Notes due 2029. The tender offer's completion is subject to conditions including the consummation of this new financing.
Summit Midstream Partners, LP (NYSE: SMLP) announced that unitholders approved the conversion from a master partnership to a C- at the Special Meeting. Over 88% of votes were in favor of the Corporate Reorganization, with an anticipated effective date of August 1, 2024. The company also priced an upsized offering of $575 million in 8.625% Senior Secured Second Lien Notes due 2029, which, along with an expected upsizing of the ABL credit facility from $400 million to $500 million, will provide improved financial flexibility.
Summit will host its Q2 2024 earnings call on August 9, 2024. The company also announced the availability of 2023 K-3 tax forms for unitholders.
Summit Midstream Partners, LP (NYSE: SMLP) has announced the pricing of an upsized offering of $575 million in 8.625% Senior Secured Second Lien Notes due 2029. The proceeds will be used to repurchase or redeem all of the Partnership's 8.500% Senior Secured Second Lien Notes due 2026 and 5.75% Senior Notes due 2025, pay accrued interest, and for general partnership purposes. The offering is expected to close around July 26, 2024.
The new notes will be guaranteed on a senior second-priority basis by the Partnership and certain subsidiaries, secured by the same collateral pledged for the ABL Facility. The notes are being offered only to qualified institutional buyers in the US and to persons outside the US in compliance with Regulation S under the Securities Act.
Summit Midstream Partners, LP (NYSE: SMLP) announced that its subsidiaries, Summit Midstream Holdings, and Summit Midstream Finance Corp., have launched a cash tender offer to purchase any and all of their outstanding 8.500% Senior Secured Second Lien Notes due 2026. The offer expires on July 23, 2024, at 5:00 P.M., New York City time. The purchase price will be determined based on a fixed spread plus the yield of the specified U.S. Treasury Reference Security. The tender offer is subject to certain conditions, including a new offering of at least $500.0 million in senior secured second lien notes. RBC Capital Markets, is acting as the Dealer Manager for the tender offer.
Summit Midstream Partners, LP (NYSE: SMLP) has announced that its subsidiary, Summit Midstream Holdings, , is offering $500 million in Senior Secured Second Lien Notes due 2029. The proceeds will be used to:
- Repurchase or redeem all of SMLP's 8.500% Senior Secured Second Lien Notes due 2026 and 5.75% Senior Notes due 2025
- Pay accrued and unpaid interest on these notes
- Fund general partnership purposes, including fees and expenses associated with the offering
The new notes will be guaranteed on a senior second-priority basis by SMLP and certain subsidiaries, secured by the same collateral as the company's asset-based lending credit facility. The offering is to qualified institutional buyers in the US and compliant international investors.
Summit Midstream Partners (NYSE: SMLP) announced plans to convert from a master partnership (MLP) to a C- A Special Meeting for common unitholders to vote on this reorganization is scheduled for July 18, 2024. The Board recommends voting 'FOR' the change, citing benefits such as reduced tax burdens, improved trading liquidity, and simplified structure. Heath Deneke, CEO, emphasized the positive impacts on unitholders, including tax advantages and enhanced transparency. The reorganization is expected to close later in 2024, pending unitholder approval.
Summit Midstream Partners, LP (NYSE: SMLP) announced the results of its Asset Sale Offer to purchase up to $215 million of its outstanding 8.500% Senior Secured Second Lien Notes due 2026. The offer expired on June 5, 2024, with only $6.91 million, or approximately 0.90%, of the Notes tendered and accepted for payment. Payment will be made on June 6, 2024.
Summit Midstream Partners, LP announced an Asset Sale Offer to purchase up to $215,000,000 of their outstanding 8.500% Senior Secured Second Lien Notes due 2026. The offer will expire on June 5, 2024, and is being made in accordance with the indenture governing the Notes. If the Notes tendered exceed the offer amount, they will be purchased on a pro rata basis. The Issuers may use any remaining offer amount for other purposes permitted by the indenture.
Antero Midstream announced a bolt-on acquisition of gathering and compression assets in the Marcellus Shale for $70 million, increasing 2024 guidance, and redeeming 2026 Senior Notes. The acquisition is expected to boost Free Cash Flow, EBITDA, and Free Cash Flow after dividends. The company aims to enhance shareholder value through strategic acquisitions.
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