Dec. 10, 2015, 6:16 PM
- Marathon Petroleum's (NYSE:MPC) Speedway, Sunoco (NYSE:SUN) and Alimentation Couche-Tard (OTCPK:ANCUF) are among various groups interested in a potential acquisition of convenience store operator CST Brands (NYSE:CST), according to TheStreet.com.
- The report comes a day after Engine Capital sent a letter to CST's board requesting action to improve the company's business operations or launch a review of strategic alternatives, including the exploration of a sale.
Dec. 1, 2015, 2:47 PM
- MarkWest Energy (MWE -4.8%) unitholders vote to approve a merger deal with MPLX (MPLX -13.6%), overcoming opposition from two MWE founders; the deal is now expected to be completed by Dec. 4.
- The agreement will make MWE, the second largest natural gas processor in the U.S., a subsidiary of Marathon Petroleum (MPC +0.9%) pipeline operator MPLX, and create one of the biggest MLPs.
- The overall value of the cash and stock deal originally was pegged at ~$15B in July but had fallen to ~$10B by mid-November amid plunging energy stock prices, when MPC increased the cash portion of the deal to $6.20/unit for MWE shareholders.
Nov. 20, 2015, 9:58 AM
- MarkWest Hydrocarbon founders John Fox and Brian O'Neill say they will vote against a merger of MarkWest Energy (MWE -1.2%) and MPLX (MPLX -2.1%).
- Fox already has expressed his views, and O'Neill now says he is in "100% agreement" with Fox, adding "MWE has spent more than $10B in capital expenditures over the previous five years, which means MPLX and its owner, Marathon Petroleum (MPC +0.5%), are merely refunding MWE's unitholders and leaving a small premium for their efforts."
- At the same time, MWE announces that the Glass Lewis and Egan Jones proxy advisory firms recommend shareholders vote for the merger.
- Earlier: MarkWest says ISS recommends investors vote for deal with MPLX (Nov. 19)
Nov. 18, 2015, 11:57 AM
- MarkWest Energy Partners (MWE +2.4%) says the ISS proxy advisory firm recommends MWE unitholders vote in favor of the combination of MWE with MPLX (MPLX -3.3%).
- The ISS recommendation cites "the premium to the unaffected price at announcement, the subsequent cash increases in the merger consideration, and the strategic advantages of the combination - including both the access to relatively more certain capital sources at a lower cost of capital and the ability to de-risk certain growth opportunities" with Marathon Petroleum (MPC +1.1%) as its parent.
- Separately, Kayne Anderson Capital Advisors discloses a 5.7% active stake in MWE.
Nov. 17, 2015, 8:24 AM
- Marathon Petroleum (NYSE:MPC) again raises the cash portion of its cash and stock offer for MarkWest Energy Partners (NYSE:MWE), hoping to clinch its proposed takeover.
- MPC, which has agreed to buy MWE through its MPLX pipeline unit, says it will now offer $6.20/unit, up from $5.21 offered last week.
- The latest offer, which MPC and MPLX say represents the best and final offer, nearly doubles the cash portion of the offer from the $3.37/unit offered in July when the deal was reached.
- MWE +2.7% premarket.
Nov. 12, 2015, 11:59 AM
- Former MarkWest Energy (MWE -5.1%) Chairman and CEO John Fox reaffirms his opposition to the company's proposed merger with MPLX (MPLX -1.2%), urging fellow unitholders to withhold their proxies or vote no.
- Fox says Marathon Petroleum's (MPC -2.2%) $1.84/unit cash increase "does not materially change the fundamentals of the deal. The revised $52.93/unit implied deal terms based on MPLX's closing price on Nov. 10 is still 33% below the initial implied deal terms outlined in July."
- Earlier: Former MarkWest CEO aims to stop merger with MPLX (Nov. 4)
Nov. 10, 2015, 5:34 PM
- Marathon Petroleum (NYSE:MPC) says it is raising the cash portion of its offer to buy MarkWest Energy Partners (NYSE:MWE) by $400M to $1.075B from $675M.
- MPC, which is seeking to acquire MWE through its MPLX pipeline unit, says it will now offer $5.21/unit in cash, up from the $3.37 it offered in July.
- MPC says MWE unitholders would continue to get 1.09 MPLX units for each share held, for total consideration of ~$52.93 per MWE common unit.
Nov. 4, 2015, 8:30 AM
- Former MarkWest Energy Partners (NYSE:MWE) CEO John Fox says he will oppose Marathon Petroleum's (NYSE:MPC) proposed $15.6B acquisition of the company through its MPLX pipeline unit.
- Fox, who owns 1.4M MWE units, writes in an open letter that MWE should remain a standalone company to avoid a significant cut in shareholder distributions, as cash available for distribution would be reduced by obligations to make incentive distribution payments to MPC.
- Also: MarkWest Energy Partners misses by $0.03, misses on revenue
Jul. 14, 2015, 2:42 PM
- MPLX (MPLX +2.8%) bounces back a bit after yesterday's 14.5% drop on news it was buying MarkWest Energy Partners (MWE +2%), as analyst commentary is mostly positive and the shares begin to look cheaper.
- Citi Research analyst Faisel Khan rates all the companies, including MPLX parent Marathon Petroleum (MPC +0.3%), with Buy ratings, as "the damage has been done" and MPLX units are cheap on its distribution target for next year; for MWE, Citi sees the possibility of another bid but that it would be difficult given the no-shop provision and $625M break-up fee.
- However, MPLX gets a negative review from Howard Weil, which downgrades shares to Sector Perform with a $65 price target, cut from $87, believing investors will re-rate their yield expectations on what is a much larger entity with less visibility into outer year growth and a slower growth trajectory beyond 2017 (Briefing.com).
Jul. 13, 2015, 3:39 PM
- The big winner in MPLX's (MPLX -14.9%) takeover bid for MarkWest Energy (MWE +12.8%) is MPLX’s parent, Marathon Petroleum (MPC +7.7%), which contributed $973M of its own cash to seal the deal, according to Liam Denning of WSJ's Heard On The Street.
- While its shareholding in MPLX will drop to 21% on a pro forma basis, Denning says, MPC also will retain its GP units in the combined entity, which entitle it to a much larger share of cash distributions by MPLX - a common feature of MLPs that encourage rapid expansion, though one that has waned in recent years.
- MPC has a lot of assets to drop down to its MLP, and the acquisition will allow it to do so faster going forward since it will be a much bigger company, says InfraCap MLP ETF portfolio manager Jay Hatfield.
Jul. 13, 2015, 7:11 AM
- MPLX agrees to acquire MarkWest Energy Partners (NYSE:MWE) in a cash and stock deal valued at ~$20B, including ~$4.2B in debt.
- MWE unitholders will get 1.09 common units of MPLX and $3.37 in cash for every unit held, which works out to $78.64/unit, a 32% premium to MWE's Friday closing price.
- The deal would create the fourth-largest MLP, with a $21B market cap.
Oct. 8, 2012, 11:30 AM
BP (BP +0.2%) brought in a combined $5B from the sale of its Texas City and Carson refineries, more than the $4B it initially had expected to get from the properties, but while each deal equaled $2.5B, the price for the actual facilities is far apart. The bulk of the Marathon (MPC +7%) deal is the inventory the facility held; the refinery itself was sold at nearly half the price of Carson.| Oct. 8, 2012, 11:30 AM | 1 Comment
Oct. 8, 2012, 9:08 AM
Marathon Petroleum (MPC) agrees to purchase BP's 451K bbl/day Texas City refinery, three intrastate natural gas pipelines and other assets for $598M, plus inventories estimated at $1.2B; an earnout provision could mandate MPC pay up to $700M more over six years. MPC expects the transaction to be accretive to earnings in the first year of operation. MPC +1.7%, BP -0.3% premarket.| Oct. 8, 2012, 9:08 AM
May 15, 2012, 6:20 PMEnergy Transfer Partners (ETP) could fetch up to $1.8B for the 4,900 gasoline stations it acquired when it agreed to buy Sunoco (SUN) last month in a $5.3B deal, Raymond James analysts say. Possible buyers include Marathon Petroleum (MPC), Alimentation Couche-Tard (ANCUF.PK) and retail operator Global Partners (GLP). | May 15, 2012, 6:20 PM | 1 Comment
Feb. 16, 2012, 5:56 PM
Carl Icahn says he wants to put CVR Energy’s (CVI) refineries up for sale, and Oppenheimer thinks Marathon Petroleum (MPC) might be the best fit. MPC was sitting on $3B in cash at the end of Q4 and will see its capex fall as it completes large projects later this year. Icahn himself lists MPC along with WNR, HFC, TSO, VLO and COP as potential buyers.| Feb. 16, 2012, 5:56 PM