|Over a week ago|
New Fortress Energy price target raised to $67 from $53 at Evercore ISI » 08:3401/1501/15/21
Evercore ISI analyst Sean…
Evercore ISI analyst Sean Morgan raised the firm's price target on New Fortress Energy (NFE) to $67 from $53 and keeps an Outperform rating on the shares. New Fortress' three "material" acquisitions have "greatly accelerated the already rapid growth profile of the company," Morgan tells investors in a research note. He views the purchase of the Hygo and the Golar LNG Partners (GMLP) fleet as "substantially transformative."
Golar LNG Partners downgraded to Hold from Buy at Stifel » 05:5801/1401/14/21
Stifel analyst Benjamin…
Stifel analyst Benjamin Nolan downgraded Golar LNG Partners (GMLP) to Hold from Buy with a price target of $3.55, down from $5, after New Fortress Energy (NFE) agreed to acquire the company in an all-cash deal that values the common equity at $3.55 per unit. The analyst views it as unlikely that another bidder will step in and offer a higher price.
Golar LNG Partners to be acquired by New Fortress Energy for $3.55 per unit » 08:5601/1301/13/21
Golar LNG Partners (GMLP)…
Golar LNG Partners (GMLP) announced that it has entered into an agreement and plan of merger with New Fortress Energy (NFE). Under the merger agreement, NFE has agreed to acquire all of the outstanding common units and general partner units of GMLP for $3.55 per unit in cash for a total purchase price of $251 million equity value. In connection with the transaction, GMLP's incentive distribution rights will be cancelled. The Series A preferred units of GMLP will remain outstanding. The consideration to be received by GMLP common unitholders represents a 27% premium to the closing price of GMLP's common units of $2.79/unit on January 12, 2021, and a 37.5% premium to the volume weighted average closing price of GMLP's common units for the 20-trading day period ended January 12, 2021. GMLP's Board of Directors, acting upon the recommendation of the Conflicts Committee of the Board of Directors of GMLP, unanimously approved the proposed transaction with NFE and recommended that the GMLP unitholders approve the transaction. The closing of the transaction is subject to the approval by the holders of a majority of GMLP's outstanding common units, the receipt of certain regulatory approvals and third party consents and other customary closing conditions, and is expected to occur in the first half of 2021. Golar LNG Limited, which owns approximately 30.8% of the issued and outstanding common units of GMLP, as well as the general partner of GMLP, has entered into a support agreement with NFE committing to vote its common units in favor of the transaction.
Golar LNG, Stonepeak to sell 100% of Hygo Energy Transtion to New Fortress » 08:3001/1301/13/21
GLNG, NFE, GMLP
Golar LNG Limited (GLNG)…
Golar LNG Limited (GLNG) announced that it and Stonepeak Infrastructure Fund II Cayman Ltd., a fund managed by Stonepeak Infrastructure Partners have entered into a definitive agreement and plan of merger to sell 100% of Hygo Energy Transition to New Fortress Energy (NFE). Hygo, a gas to power and downstream LNG distribution company, is owned 50% by each of GLNG and by funds and other entities managed by Stonepeak. Under the terms of the merger agreement, NFE will acquire all of the outstanding shares of Hygo for 31.4 million shares of NFE Class A common stock and $580 million in cash. The transaction values Hygo at an enterprise value of $3.1 billion and an equity value of $2.18 billion. Pursuant to the transaction, GLNG will receive 18.6 million shares of NFE Class A common stock and $50 million in cash, and Stonepeak will receive 12.7 million shares of NFE Class A common stock and $530 million in cash, which includes a cash settlement of its preferred equity tranche of $180 million. As part of the transaction, GLNG and Stonepeak have entered into customary lock-up provisions in relation to the stock consideration they will receive. Completion of the transaction is subject to the receipt of certain approvals and third-party consents and the satisfaction of other customary closing conditions, and is expected to occur in the first half of 2021. In addition, NFE has today also announced that it will acquire 100% of the common units and general partner units of Golar LNG Partners (GMLP) at a price of $3.55 per unit. GLNG holds 30.8% of the issued and outstanding common units in GMLP. In connection with the acquisition, GMLP's incentive distribution rights will be cancelled. GMLP's 8.75% Series A Cumulative Redeemable Preferred Units will remain outstanding. The transaction is valued at a $1.9 billion enterprise value and $251 million equity value. GMLP's Board of Directors, acting upon the recommendation of the independent committee of GMLP, unanimously approved the proposed transaction with NFE. The closing of the transaction is subject to the approval by the holders of a majority of GMLP's outstanding common units, the receipt of certain regulatory approvals and third party consents and other customary closing conditions, and is expected to occur in the first half of 2021. GLNG has entered into a support agreement with NFE committing to vote its approximately 30.8% interest in GMLP's common units in favor of the transaction.
|Over a month ago|
Golar LNG Partners reports Q3 operating revenue $71.1M, consensus $71.7M » 07:4911/3011/30/20
The company said,…
The company said, "Golar Partners will, together with the Hygo team, commence work on assessments of the addressable markets for small scale LNG distribution and fuel switching opportunities for larger industrial users in the regions around the Partnership's FSRUs. As expected, LNG carrier spot rates have improved substantially in recent months in line with seasonality. This will have little impact on the Partnership's expected total adjusted EBITDA1 for Q4 which is expected to be broadly similar to Q3, however it does reflect a firming underlying demand for LNG and a gradual return to more traditional trading patterns. This can create upward pressure on ton miles over the coming years resulting in a more supportive backdrop for re-contracting or extending the current Golar Grand charter in May 2021."
|Over a quarter ago|
Golar LNG Partners, Golar Power enter cooperation agreement for LNG terminals » 08:2208/3108/31/20
Golar LNG Partners and…
Golar LNG Partners and Golar Power have entered into a cooperation agreement where the parties intend to work together to develop hub-spoke LNG terminal solutions utilizing GMLP's available asset portfolio, where GMLP's assets are technically suitable. The terms and structure of the commercial cooperation will be worked on a project by project basis given the customized nature of each potential terminal. As part of the agreement, Golar Power and Golar Partners have agreed to terminate the existing Omnibus agreement between the entities.
Golar LNG Partners reports Q2 operating revenue $72.1M, consensus $70.45M » 07:4008/1308/13/20
The company said,…
The company said, "The Partnership will focus on refinancing its 7-vessel $800 million bank facility before year end. As at June 30, 2020, $542 million was outstanding under this facility, and at maturity in April 2021, $503 million is scheduled to be outstanding. At maturity, the vessels that secure this facility are expected to have a revenue backlog1 of $680 million. Total Adjusted EBITDA1 attributable to those vessels over the next 12-months amounts to around $130 million. A modest upsizing of the facility is therefore likely, with any liquidity released to be used to pay down bond debt, thereby reducing interest costs. Having refinanced the secured debt, management will then focus on refinancing the two outstanding unsecured bonds totaling $400 million. The intention is to complete this prior to May 2021 when the call option increases from 100% to 105% of par. From a commercial standpoint, management will focus on securing maximum possible utilization of the Golar Maria prior to her term charter that commences in Q4. Although the market is expected to improve materially from current levels, rates are unlikely to be attractive enough to support re-activating and drydocking the Golar Mazo ahead of the winter trading period. Historically low gas prices, and an expectation that they will remain structurally low for the foreseeable future, continues to allow LNG to compete with coal on both an environmental and an economic level. Golar Partners, in partnership with Golar Power in certain cases, will continue to focus on matching these new markets for low cost LNG with appropriately sized FSRU solutions. Strategic alternatives to better use the Partnership's $1.9 billion of revenue backlog1 to maximize long-term shareholder value continue to be evaluated and are being narrowed down. In the meantime, despite the potential for a small drop in revenue and an increase in operating costs, Q3 Total Adjusted EBITDA1 is expected to be broadly similar to Q2."
Golar LNG Partners & Golar LNG participate in a conference call with Jefferies » 08:5506/1806/18/20
Shipping Analyst Giveans…
Shipping Analyst Giveans holds a conference call with managements on June 18 at 10 am hosted by Jefferies.
Golar LNG Partners reports Q1 operating revenue $69.8M, consensus $71.76M » 08:0605/2805/28/20
The company said,…
The company said, "Covid-19 has added significant downward pressure to LNG prices, resulting in intra-basin LNG trade over inter-basin trade. Although this has been negative for the overall shipping balance, this trade pattern is better suited to the Golar Maria and Golar Grand and will have contributed to their high utilization levels, despite the challenging market. Current LNG prices compare favourably to other sources of energy, including pipeline gas, coal, heavy fuel oil and diesel. This is expected to result in increased utilization levels on FSRUs that might normally only be used as backup for, or to supplement, other energy sources. These same historically low gas prices are introducing new buyers and creating new markets for LNG - markets that have, in some cases, recently had their first taste of clean air in a generation. FSRUs are a quick delivering, low-cost, flexible alternative infrastructure solution that can meet the needs of these markets. Together with other opportunities being developed by Golar Power Limited, the Partnership is therefore highly confident that it will re-contract its currently contracted FSRU fleet once their contracts start to expire in 2022/3. Having extended the bond maturities, attention will return once again to the review of the Partnership's strategic alternatives including structure and strategy to better use the $2.0 billion of revenue backlog1 to maximize long-term shareholder value. This could include the sale of assets, for which unsolicited offers have been received. In the meantime, second quarter results will be positively impacted by a full quarter's contribution from the Golar Igloo, partly mitigated by reduced rates achieved in respect of the Golar Maria."
Golar LNG Partners says bondholder's meeting approves bond terms amendment » 09:0205/0505/05/20
Golar LNG Partners…
Golar LNG Partners announced that holders of the Partnership's Senior Unsecured Bond Issues maturing May 2020 and May 2021 have approved the Amendment Proposal as set out in the attachment to the press release dated April 17, 2020. The Amendment Proposal includes certain amendments to the terms of the Bond Issues including 18 month extensions to the original maturity dates for each of the Bond Issues.