By Devika Patel
Knoxville, Tenn., Oct. 31 - Boardwalk Pipeline Partners, LP said it has arranged to sell $490 million of units in a private placement.
The company will sell 21,184,609 common units at $23.13 per unit to a subsidiary of Loews Corp. Loews also will contribute an additional $10 million on behalf of Boardwalk Pipeline's general partner, a Loews subsidiary, to maintain its 2% general partner interest.
The deal was announced as a possible $1 billion placement on Oct. 27, with Boardwalk and Loews saying Loews would provide up to that amount if Boardwalk could not find external funding on acceptable terms.
Settlement is expected Nov. 4.
Proceeds will be used for expansion projects.
Boardwalk is an Owensboro, Ky., interstate transportation and natural gas storage company.
| Issuer: | Boardwalk Pipeline Partners, LP
|
| Issue: | Units
|
| Amount: | $490 million
|
| Units: | 21,184,609
|
| Price: | $23.13
|
| Warrants: | No
|
| Investor: | Loews Corp. subsidiary
|
| Announcement date: | Oct. 27
|
| Pricing date: | Oct. 31
|
| Settlement date: | Nov. 4
|
| Stock symbol: | NYSE: BWP
|
| Stock price: | $23.13 at close Oct. 30
|
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