Blackstone Puts $500 Million Into Pipeline Company (BX, KYN, KYE, KED, EPD)

Banking, finance, and taxes

Published: June 25, 2008 8:02 am

The Wall Street Journal has reported that The Blackstone Group LP (NYSE:BX) will invest some $500 million into a new pipeline company, Crestwood Midstream Partners LLC. Crestwood was formed in December 2007, with an initial investment of $150 million from the Kayne Anderson private equity energy funds, and you will see there are several of them:

Kayne Anderson MLP Investment Company (NYSE: KYN)
Kayne Anderson Energy Total Return Fund (NYSE: KYE)
Kayne Anderson Energy Development Company (NYSE: KED)

A Blackstone-owned hedge fund, GSO Capital Partners, is also participating in today’s deal.

Crestwood is headed by Robert G. Phillips, former chief executive of Enterprise Products Partners (NYSE:EPD), who joined Enterprise following its merger with GulfTerra in 2006. The WSJ notes that Blackstone teamed up with Warburg Pincus just a week ago on a $500 million investment in Kosmos Energy, an West African offshore oil exploration company.

Paul Ausick
June 25, 2008

Are You Ahead, or Behind on Retirement? (sponsor)

If you’re one of the over 4 Million Americans set to retire this year, you may want to pay attention.

Finding a financial advisor who puts your interest first can be the difference between a rich retirement and barely getting by, and today it’s easier than ever. SmartAsset’s free tool matches you with up to three fiduciary financial advisors that serve your area in minutes. Each advisor has been carefully vetted, and must act in your best interests. Start your search now.

Don’t waste another minute; get started right here and help your retirement dreams become a retirement reality.