Western Midstream Partners Lp Stock Price, News & Analysis

Western Midstream Partners (NYSE: WES) has announced the acquisition of Aris Water Solutions (NYSE: ARIS) in a strategic equity-and-cash transaction valued at approximately $1.5 billion. Under the agreement, Aris shareholders will receive 0.625 WES common units per share or $25.00 in cash, with a maximum cash consideration of $415 million.

The transaction, expected to close in Q4 2025, creates a premier Delaware Basin produced-water system with approximately 1,620 miles of pipeline and 3,835 MBbls/d of disposal capacity. The merger combines Aris's 790-mile infrastructure and 1,800 MBbls/d handling capacity with WES's existing 830-mile network and 2,035 MBbls/d capacity.

The deal targets $40 million in annual cost synergies and is expected to be accretive to WES's 2026 Free Cash Flow per unit, representing an approximate 7.5x multiple on consensus 2026 EBITDA including synergies.

[ "Transaction valued at $1.5B represents a 23% premium to Aris's closing price", "Expected to be accretive to 2026 Free Cash Flow per unit", "$40 million in targeted annual cost synergies", "Significant expansion into New Mexico market with complementary infrastructure", "Long-term contracts with investment grade counterparties", "Maintains healthy 3.0x pro forma net leverage", "Creates fully integrated produced-water value chain" ]

Western Midstream (NYSE:WES) reported strong Q2 2025 results with record Adjusted EBITDA of $617.9 million and Net income of $333.8 million. The company announced two major strategic moves: the acquisition of Aris Water Solutions for $2.0 billion and the sanctioning of a new 300 MMcf/d cryogenic processing train at North Loving plant.

Q2 operational highlights include record Delaware Basin throughput across all products: natural gas (2.1 Bcf/d), crude oil/NGLs (269 MBbls/d), and produced water (1,242 MBbls/d). The company maintained its quarterly distribution of $0.910 per unit and reaffirmed its 2025 guidance with Adjusted EBITDA of $2.350-2.550 billion.

The Aris acquisition is expected to be accretive to 2026 Free Cash Flow per unit, targeting $40 million in annual cost synergies while maintaining a pro forma net leverage of approximately 3.0x.

Western Midstream Partners (NYSE:WES) has announced the acquisition of Aris Water Solutions (NYSE:ARIS) in a transaction valued at approximately $2.0 billion. The equity-and-cash deal offers ARIS shareholders 0.625 WES common units or $25.00 per share in cash, with a maximum cash consideration of $415 million.

The strategic combination creates a premier Delaware Basin produced-water system, with Aris contributing 790 miles of pipeline, 1,800 MBbls/d of handling capacity, and 1,400 MBbls/d of recycling capacity. The merger significantly expands WES's New Mexico footprint and is expected to generate $40 million in annual cost synergies.

The transaction, expected to close in Q4 2025, is projected to be accretive to 2026 Free Cash Flow per unit and represents a 7.5x multiple on consensus 2026 EBITDA. Post-closing, Aris shareholders will own approximately 7% of WES's outstanding common units.

Western Midstream Partners (NYSE: WES) has declared a quarterly cash distribution of $0.910 per unit for Q2 2025, maintaining the same level as the previous quarter. This equates to $3.64 per unit annually. The distribution will be paid on August 14, 2025, to unitholders of record as of August 1, 2025.

The Partnership will announce its Q2 2025 results after market close on August 6, 2025, followed by a conference call on August 7, 2025, at 9:00 a.m. Central Time. The earnings call will be accessible via phone and webcast through the company's website.

Western Midstream Partners (NYSE: WES) has announced the availability of its 2024 Schedule K-3 tax form, which contains information about items of international tax relevance. The document is accessible online at www.taxpackagesupport.com/westernmidstream.

The Schedule K-3 is primarily relevant for foreign unitholders, those computing foreign tax credits, and certain corporate and partnership unitholders. Unitholders can request an electronic copy via email by calling Tax Package Support at 833-618-2034.

Western Midstream Partners (NYSE: WES) has announced two key updates. First, the company will release a pre-market post-earnings interview with CFO Kristen Shults on their website tomorrow, providing additional insights into their Q1 2025 results. Second, WES will participate in three upcoming investor conferences:

• TPH&Co. Hotter 'N Hell 2025 in Houston (May 14-15)
• The 22nd Annual Energy Infrastructure CEO & Investor Conference in Aventura (May 21-22)
• Citi's 2025 Natural Resources Conference in Las Vegas (August 12-13)

Western Midstream Partners (NYSE: WES) reported strong Q1 2025 results with net income of $301.8 million ($0.79 per unit) and Adjusted EBITDA of $593.6 million. The company achieved $530.8 million in operating cash flows and $399.4 million in Free Cash Flow. Key highlights include record Delaware Basin natural-gas throughput of 2.0 Bcf/d and completion of the North Loving plant, adding 250 MMcf/d processing capacity. WES announced a 4% increase in quarterly distribution to $0.910 per unit ($3.64 annualized). The company maintained strong operational metrics with natural-gas throughput averaging 5.1 Bcf/d and crude-oil/NGLs throughput at 503 MBbls/d. Despite market volatility, WES maintains its 2025 guidance and continues to focus on cost reduction, balance sheet strength, and strategic growth projects.

Western Midstream Partners (NYSE: WES) has appointed Robert G. Phillips as an independent member of its general partner's board of directors. Phillips brings over 47 years of midstream industry experience, having recently retired as Founder, Chairman, and CEO of Crestwood Equity Partners following its merger with Energy Transfer LP in 2023. Under his leadership, Crestwood grew to over $7.1 billion in enterprise value through organic growth and M&A activities.

Phillips will serve on the board's Compensation Committee and Special Committee. His appointment brings the total board membership to eight, with four independent directors. Phillips currently serves as an independent director at South Bow Corporation and Enstor Inc., and previously co-chaired the ESG Committee of the Energy Infrastructure Council.

Western Midstream Partners (NYSE: WES) has declared a quarterly cash distribution of $0.910 per unit for Q1 2025, equivalent to $3.64 per unit annually. This represents a 4-percent increase from the previous quarter's distribution and aligns with the company's previously announced expectations.

The distribution will be paid on May 15, 2025, to unitholders of record as of May 2, 2025. The Partnership will announce its first-quarter 2025 results after market close on May 7, 2025, followed by a conference call on May 8, 2025, at 9:00 a.m. Central time to discuss quarterly and full-year results.