Atlas Pipeline Partners acquires private Eagle Ford company TEAK Midstream for $1 billion

Client(s) Atlas Pipeline Partners, L.P.

Jones Day advised Atlas Pipeline Partners, L.P. on its acquisition of 100% of the equity interests of TEAK Midstream, L.L.C., a privately owned midstream operator, for $1 billion in cash, and, as part of the acquisition's financing, on the issuance of $400 million of Series D Convertible Preferred Securities.

TEAK is a privately owned midstream operator with gas gathering and processing facilities located in the core of the Eagle Ford Shale in south Texas. TEAK's assets include a cryogenic processing plant and approximately 475 miles of gas gathering and residue pipelines, and it plans to construct two future cryogenic processing plants, one of which is currently under fabrication. In addition, TEAK jointly owns with TexStar Midstream Services, LP approximately 235 miles of gas gathering, header, and residue pipelines and three miles of NGL pipeline.