Cheniere Energy Inc. (NYSEAMERICAN: LNG) announced Thursday morning that it is acquiring the approximately 8.1% of subsidiary Cheniere Energy Partners Holdings LLC (NYSEAMERICAN: CQH) that it does not already own in an all-stock deal valued at $28.24 per share of Cheniere Partners Holdings.
Shareholders in the acquired company will receive 0.45 shares of Cheniere Energy stock for each share of Cheniere Energy Holdings they own. The transaction is expected to be tax-free to Cheniere Energy Holdings shareholders.
Cheniere Energy Holdings’ sole asset is an approximate 48.6% limited partner interest in Cheniere Energy Partners LP (NYSEAMERICAN: CQP).
Cheniere Partners is constructing and operating natural gas liquefaction facilities at the Sabine Pass LNG terminal in the Gulf of Mexico. The company plans to construct up to six natural gas liquefaction trains, which are in various stages of development, construction and operations. Trains 1 through 4 are operational, Train 5 is under construction and Train 6 is being commercialized and has all necessary regulatory approvals in place.
Each liquefaction train is expected to have a nominal production capacity, before adjustments for planned maintenance, production reliability and potential overdesign, of approximately 4.5 million tons annually of liquefied natural gas (LNG) and an adjusted nominal production capacity of approximately 4.3 million to 4.6 million tons per year of LNG. Cheniere Partners also owns and operates regasification facilities at the Sabine Pass LNG terminal and the Creole Trail Pipeline, which connects the Sabine Pass LNG terminal with a number of large interstate pipelines.
As of earlier this month, more than 97% of Cheniere Energy stock was owned by institutional investors, with Carl Icahn’s nearly 14% stake being the largest.
Cheniere Energy Holdings shares traded up about 2% in the late morning Thursday, at $28.51 in a 52-week range of $24.03 to $29.73.
Common units of Cheniere Energy Partners traded up about 0.6% to $32.77, in a 52-week range of $26.41 to $33.47, and Cheniere Energy shares traded down about 1% at $62.13.
As of Thursday’s close, Cheniere Energy stock has posted a 12-month gain of about 27% while Cheniere Energy Holdings showed a gain of 11.5% and Cheniere Energy Partners has added less than 3%.
The Average American Has No Idea How Much Money You Can Make Today (Sponsor)
The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.