TULSA, Okla.–(BUSINESS WIRE)–NGL Energy Partners LP (NYSE: NGL) announced that on June 24, 2016, it completed its private placement of 10.75% Class A Convertible Preferred Units with funds managed by Oaktree Capital Management L.P., including a vehicle funded by Partners Group, a global private markets investment manager, on behalf of its clients.
On April 21, 2016, the Partnership entered into an agreement to issue $200 million of 10.75% Class A Convertible Preferred Units to Oaktree. On June 23, 2016, the Partnership and Oaktree amended the purchase agreement increasing the aggregate amount of the private placement from $200 million to $240 million. NGL expects to use the net proceeds from the issuance of the Preferred Units and warrants to repay borrowings outstanding on its revolving credit facility, which may be re-borrowed in the future to fund capital expenditures and for other general partnership purposes. The Partnership and Oaktree have also formed a strategic relationship to pursue future opportunities within the Partnership’s current business segments.
Advisors
In connection with the sale of the Preferred Units, RBC Capital Markets, UBS Investment Bank and Deutsche Bank Securities acted as placement agents and financial advisors to NGL and Andrews Kurth LLP acted as legal counsel to NGL. Barclays acted as financial advisor to Oaktree and Vinson & Elkins acted as legal counsel to Oaktree.
About NGL Energy Partners LP
NGL Energy Partners LP is a Delaware limited partnership. NGL owns and operates a vertically integrated energy business with five primary businesses: crude oil logistics, water solutions, liquids, retail propane and refined products and renewables. For more information visit NGL’s website at www.nglenergypartners.com.
About Oaktree Capital
Oaktree Capital Group, LLC (NYSE: OAK) is a leader among global investment managers specializing in alternative investments, with $97 billion in assets under management as of December 31, 2015. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, the firm has over 900 employees and offices in 17 cities worldwide. For additional information, please visit Oaktree’s website at http://www.oaktreecapital.com/.
About Partners Group
Partners Group is a global private markets investment management firm with over USD 50 billion in investment programs under management in private equity, private real estate, private infrastructure and private debt. The firm manages a broad range of customized portfolios for an international clientele of institutional investors. Partners Group is headquartered in Zug, Switzerland, and has offices in San Francisco, Denver, Houston, New York, São Paulo, London, Guernsey, Paris, Luxembourg, Milan, Munich, Dubai, Mumbai, Singapore, Shanghai, Seoul, Tokyo and Sydney. The firm employs over 800 people and is listed on the SIX Swiss Exchange (symbol: PGHN) with a major ownership by its partners and employees. www.partnersgroup.com
