Provident Energy Trust to sell stake in BreitBurn Energy Company for $305 millionadmin
Canada’s Provident Energy Trust is reported to have announced that it will sell its stake in oil and gas producer BreitBurn Energy Company LP for $305 million to focus on its core energy, petroleum and midstream businesses.
Purchasers Metalmark Capital Partners, Greenhill Capital Partners and the BreitBurn management team will pay Calgary, Alberta-based Provident $295 million in cash and a $10 million note.
The transaction is expected to close by the end of August.
In June, Provident Energy Trust sold some U.S. oil and gas assets to BreitBurn for $345 million in cash in order to cut debt.
Provident shares rose 37 cents, or 3.7 percent, to finish at $10.42, and shares of BreitBurn added 36 cents, or 2.1 percent, to close at $17.35.