- SemGroup (NYSE:SEMG) agrees to acquire Rose Rock Midstream (RRMS) in a stock-for-unit transaction at a ratio of 0.8136 in SEMG shares per RRMS share.
- SEMG says the implied RRMS unit price represents a 7.4% and 19.2% premium to its volume-weighted average prices during the 10-trading days and 20-trading days ending May 27.
- Following completion of the deal, SEMG says it is targeting an 8% compound annual dividend growth rate and dividend coverage of 1.5x or greater through 2018.