DALLAS, Texas, July 30, 2018 (GLOBE NEWSWIRE) -- Southcross Energy Partners, L.P. (NYSE:SXE) announced today that, effective July 29, 2018, it has terminated the previously announced Agreement and Plan of Merger, dated as of October 31, 2017, with American Midstream Partners, LP (NYSE:AMID) whereby AMID had proposed to merge Southcross Energy into a wholly owned subsidiary of AMID. Consistent with its rights and obligations under the merger agreement, Southcross Energy provided written notice terminating the merger due to AMID’s failure to achieve conditions required under the merger agreement. In addition, effective July 29, 2018, Southcross Energy’s parent, Southcross Holdings LP has terminated the previously announced Contribution Agreement, dated as of October 31, 2017, with AMID as a result of a funding failure by AMID. Under the terms of the Contribution Agreement, Southcross Holdings is entitled to receive a $17 million termination fee, a portion of which will be used to reimburse certain of Southcross Energy’s transaction costs.
Southcross Energy and Southcross Holdings do not anticipate any adverse impacts to our customers, suppliers and employees as a result of the termination of these agreements.
The combined Boards of Directors of Southcross Energy and Southcross Holdings voted unanimously to approve these actions, which we believe enhance our ability to capitalize on the improving commercial environment across key areas of our asset base.
About Southcross Energy Partners, L.P.
Southcross Energy Partners, L.P. is a master limited partnership that provides natural gas gathering, processing, treating, compression and transportation services and NGL fractionation and transportation services. It also sources, purchases, transports and sells natural gas and NGLs. Its assets are located in South Texas, Mississippi and Alabama and include two gas processing plants, one fractionation plant and approximately 3,100 miles of pipeline. The South Texas assets are located in or near the Eagle Ford shale region. Southcross is headquartered in Dallas, Texas. Visit www.southcrossenergy.com for more information.
