CANONSBURG, Pa., Sept. 30, 2016 /PRNewswire/ — Rice Midstream Partners LP (NYSE: RMP) (“RMP” or the “Partnership”) today announced that it has priced a private placement of 20,930,233 common units representing limited partner interests for gross proceeds of approximately $450 million. The closing of the private placement is expected to occur on October 7, 2016, subject to certain customary closing conditions.
RMP intends to use a portion of the net proceeds from the private placement to fund a portion of the acquisition from Rice Energy Inc. (“Rice Energy”) of the midstream assets associated with Rice Energy’s previously announced acquisition of Vantage Energy, LLC and Vantage Energy II, LLC (the “Acquisition”). The remaining net proceeds will be used for general partnership purposes, including potential future drop down acquisitions from Rice Energy. The private placement is not conditioned on the consummation of the Acquisition, and there can be no assurance the Acquisition will be completed.
The securities offered in the private placement have not been registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities described herein.
Barclays and Wells Fargo Securities acted as placement agents for the transaction.
About Rice Midstream Partners
Rice Midstream Partners LP is a fee-based, growth-oriented limited partnership formed by Rice Energy Inc. (NYSE: RICE) to own, operate, develop and acquire midstream assets in the Appalachian basin. RMP provides midstream services to Rice Energy Inc. and third-party companies through its natural gas gathering, compression and water assets in the rapidly developing dry gas cores of the Marcellus and Utica Shales.