ArcLight Capital Partners, LLC (ArcLight) will acquire a 25% minority interest in Natural Gas Pipeline Company of America LLC (NGPL) from Kinder Morgan, Inc. (NYSE: KMI) and Brookfield Infrastructure Partners L.P. (NYSE: BIP; TSX: BIP.UN) for US$830 million. The value of the minority interest implies an enterprise value of approximately US$5.2 billion for NGPL. Upon closing, KMI and Brookfield Infrastructure will each hold a 37.5% interest in NGPL, and KMI will continue to operate the pipeline. The transaction was announced on February 22.
Latham & Watkins LLP represents ArcLight in the transaction with a deal team led by partners Christopher Cross and Justin Stolte, with associates Dianna Lee, Karen Song, Ozden Samur-LaBruna, and James Sullivan. Advice was also provided on finance matters by partner Warren Lilien, with associates Annelise Karreman and Lauren Lozada; on environmental matters by partner James Barrett and counsel Joshua Marnitz, with associate Samuel Scott; on energy regulatory matters by partner Patrick Nevins; on tax matters by partner Katharine Moir, with associate Derek Berry; on benefits and compensation matters by partner Bradd Williamson, with associate Alisa Hand; on real estate matters by partner Robert Frances, with associates Aaron Friberg and Will Swanson; and on insurance matters by partner Drew Levin, with associate Harrison White.