Dallas-based energy companies HF Sinclair Corp. and Holly Energy Partners LP have agreed to merge in a what Reuters said is a $1.44 billion deal that will simplify corporate structure, reduce costs, and further support the integration and optimization of the HF Sinclair portfolio.
“We are pleased to announce this strategic transaction which we believe simplifies our corporate structure, reduces costs and further supports the integration and optimization of our portfolio,” HF Sinclair’s Chief Executive Officer and President Tim Go said in a statement. “We expect the transaction to be accretive to earnings per share and available free cash flow within the first 12 months, further supporting our capital allocation strategy of returning excess cash to shareholders.”
HF Sinclair said it’s a stock and cash deal in which each holder of shares would receive a combination of 0.315 shares of common stock and $4 in cash. The company said the proposed deal represents a roughly 2% premium to the closing price of HEP’s Common Units as of Aug. 15.
Upon closing, the partnership will be a wholly owned subsidiary of HF Sinclair and no longer will be a publicly traded partnership. The deal is expected to close in the fourth quarter.
Barclays is acting as financial adviser to HF Sinclair, and Vinson & Elkins and Richards, Layton & Finger are acting as HF Sinclair’s legal advisers.
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R E A D N E X T
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In this week’s North Texas deal flow, you’ll also find news about Sinclair Digital Services’ $5 million fundraising effort; Energy Spectrum Capital helping to launch a new energy firm; Darling Ingredients’ $1.2 billion acquisition; the Dallas Cowboys’ official accounting firm merging with BKM Sowan Horan; and more.
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Dallas-based HF Sinclair Corp. announced that in connection with Tim Go’s previously announced promotion to chief executive officer and president, three additional people have been added to the company's executive leadership team. “I am confident in the abilities of these three individuals and believe their proven track record will continue to drive forward HF Sinclair’s commercial and operational initiatives,” Go said in a statement. Valerie Pompa has been promoted to EVP of operations. Pompa has served as senior vice president, Refinery Operations for HF Sinclair since 2020 and has held various senior operations roles within the oil and gas industry…
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Dallas-based independent energy company HF Sinclair Corp. has promoted Tim Go to chief executive officer and president and appointed him to its board of directors, effective May 9. Go's appointment as an independent director increased the size of the board by one to 13. Go will serve on the executive committee of the board. He has served as president and chief operating officer since November 2021. Go succeeds Michael C. Jennings, who currently serves as the chief executive officer of HF Sinclair and will continue serving in that role through May 8. “Tim is a key member of our senior…
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