Breitburn Energy to acquire QR Energy in $3B deal

|About: Breitburn Energy Partners LP (BBEPQ)|By:, SA News Editor

Breitburn Energy Partners (NASDAQ:BBEP) agrees to acquire QR Energy (NYSE:QRE) in a unit-for-unit exchange implying a transaction value of ~$3B.

QR unitholders will receive ~72M common units of BBEP, or 0.9856 of a unit, for each unit of QR Energy they own; the consideration to be received by QR unitholders is valued at $22.48/unit, a 19% premium to yesterday's closing price.

BBEP's senior management team will lead the combined company; once the deal closes, BBEP will add a new director to its board that is mutually agreed upon by both companies.

QRE +8.8%, BBEP -3.1% premarket.