Atlas Pipeline to redeem outstanding Class E shares

Atlas Pipeline Partners LP (NYSE: APL) has delivered a notice of its intention to redeem all 5,060,000 outstanding shares of its 8.25% Class E cumulative redeemable perpetual preferred units (NYSE: APL.PRE; CUSIP No.: 049392301) from the registered holder of the Class E preferred units. 

The redemption of the Class E preferred units will occur immediately prior to the effective time of the pending merger of APL with a wholly owned subsidiary of Targa Resources Partners LP (TRP) (NYSE: NGLS), pursuant to the previously announced merger agreement between APL, TRP, and certain of their affiliates. 

APL expects the merger to close on Feb. 28, and, accordingly, for the redemption date to also be Feb. 28. The Class E preferred units will be redeemed at a redemption price of $25 per unit, plus an amount equal to all accumulated and unpaid distributions on the Class E preferred units as of the redemption date. On the redemption date, the Class E preferred units will cease to accrue distributions.

Unitholders who hold Class E preferred units through the Depository Trust Co. will have their shares redeemed in accordance with the Depository Trust Co.'s procedures. On or before the redemption date, TRP will provide to APL or will deposit with APL's paying agent the funds necessary for the redemption of the Class E preferred units for the benefit of the holders thereof.

Upon deposit by TRP or APL of the redemption price in trust for the account of the holders of the Class E preferred units and from and after the redemption date, the Class E preferred units will no longer be deemed to be outstanding and all rights with respect to such units will cease and terminate (including, but not limited to, the right to receive distributions from and after the redemption date) except only the right of the holders thereof to receive, out of the funds so deposited in trust, from and after such date, the amount payable upon the redemption thereof, without interest.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...