Rice Midstream Partners LP (NYSE: RMP) has priced a private placement of 20,930,233 common units representing limited partner interests for gross proceeds of approximately $450 million. The closing of the private placement is expected to occur on October 7, 2016, subject to certain customary closing conditions.
Rice Midstream Partners intends to use a portion of the net proceeds from the private placement to fund a portion of the acquisition from Rice Energy Inc. of the midstream assets associated with Rice Energy's previously announced acquisition of Vantage Energy LLC and Vantage Energy II LLC. The remaining net proceeds will be used for general partnership purposes, including potential future drop down acquisitions from Rice Energy. The private placement is not conditioned on the consummation of the acquisition, and there can be no assurance the acquisition will be completed.
Barclays and Wells Fargo Securities acted as placement agents for the transaction.