Energy Transfer Equity buying Williams Cos. for $33 billion
Energy Transfer Equity is acquiring Williams Cos. in a $32.61-billion deal. Above, a worker checks a bit at a Williams Cos. natural gas well in Rulison, Colo., in 2009.
Energy Transfer Equity is buying pipeline operator the Williams Cos. for approximately $32.61 billion.
The companies said Monday that the combination creates one of the five biggest energy companies in the world.
Energy Transfer Equity will pay $43.50 per share, a 4.6% premium to Williams’ Friday closing price of $41.60. Williams’ shareholders can choose shares of Energy Transfer Equity affiliate Energy Transfer Corp., cash or a combination of both.
The companies put the deal’s value at about $37.7 billion, including debt and other liabilities.
Williams’ stockholders will also receive a one-time special dividend of 10 cents per share that will be paid immediately before the acquisition closes.
Williams Cos. previously announced a deal to acquire Williams Partners, but that transaction has been terminated. Williams agreed to pay a $428 million termination fee to Williams Partners.
In the deal with Energy Transfer Equity, Williams will keep its company name and remain headquartered in Tulsa, Okla.
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Both companies’ boards approved the deal, which is expected to close in the first half of 2016. It still needs approval from Williams’ shareholders.
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