Kinder Morgan Clears Hurdle On El Paso Deal
HOUSTON (AP) — Kinder Morgan will sell some of its assets as part of an agreement with federal regulators to clear the way for its $20.7 billion buyout of El Paso.
The Houston pipeline company said Thursday that the divestments are necessary in order to secure the approval of the Federal Trade Commission. The company plans to sell Kinder Morgan Interstate Gas Transmission, Trailblazer Pipeline Company, natural gas processing and treating facilities in Wyoming, and a 50-percent stake in the Rockies Express Pipeline.
Kinder Morgan Inc. said it would buy El Paso Corp., also of Houston, in October. The combined entity will be the nation’s largest natural gas pipeline operator with more than 80,000 miles of pipeline in all.
Shares are down 19 cents at $83.68 in morning trading.