Phillips 66 (NYS:PSX) said Wednesday it has agreed to acquire all of the common units of Phillips 66 Partners it does not already own in an all-stock deal valued about $3.4 billion. Under the terms of the deal, Phillips 66 Partners unitholders would receive 0.50 shares of Phillips 66 common stock for each unit owned, while the partnership's preferred units would be converted into common units at a premium to the original issuance price. The deal is expected to close in the first quarter of 2022. Phillips 66 Partners is a master limited partnership formed by Phillips 66 to own, operate, develop and acquire mostly fee-based crude oil, petroleum products and natural gas liquids pipelines, terminals and other midstream assets.Shares of the partnership jumped 3.3% premarket on the news.
Oct. 27, 2021, 8:10 a.m. EDT