American Midstream Partners announces acquisition of Panther for $52M
American Midstream Partners announced the acquisition of 100% of the assets in Panther Asset Management for a total consideration of approximately $52M. The consideration consisted of approximately $39M cash from borrowings under the Partnership's revolving credit facility and common units representing limited partner interests. The underlying assets acquired are highly complementary with AMID's core Gulf of Mexico assets as a substantial portion of Panther's cash flows are generated by AMID joint ventures. Through the purchase, AMID will acquire Panther's 33.3% equity interests in Main Pass Oil Gathering as well as Panther's 40% equity interest in American Panther. As such, the Partnership will now own 100% of MPOG and AmPan. The acquisition of Panther is an important part of the Partnership capital redeployment strategy. Coupled with the recently announced Viosca Knoll acquisition on June 2, 2017, AMID has effectively redeployed $85M of the anticipated proceeds from the sale of Propane Marketing and Services business announced on July 24, 2017. The acquisition of Panther is accretive to 2017 Adjusted EBITDA and distributable cash flow and is expected to earn returns consistent with a mid-single digit cash flow multiple.