Houston, Sept. 12, 2017 (GLOBE NEWSWIRE) — Shell Midstream Partners, L.P. (NYSE: SHLX) today announced the agreement to sell 10,370,000 common units for a total purchase price of approximately $275 million. The common units are being sold to funds managed by Tortoise Capital Advisors, L.L.C. in connection with a registered direct offering and sales of common units pursuant to our at-the-market, or “ATM” equity distribution program, for an average weighted cost of $26.55 per common unit. The registered direct offering is expected to close on or about September 15, 2017, subject to customary closing conditions.

Shell Midstream Partners expects to use the net proceeds to repay amounts outstanding under the partnership’s credit facilities and for general partnership purposes. Borrowings under the credit facilities were used to fund acquisitions of high quality, fee-based infrastructure assets in line with the partnership’s strategy.

“We have continued to execute our strategy to build scale and create a best-in-class portfolio of infrastructure assets.This equity raise and execution format demonstrates our ability to maintain flexibility in the capital markets. We expect to continue to deliver highly accretive acquisitions in support of our top tier distribution growth rate” said John Hollowell, CEO of Shell Midstream Partners. 

The common units are being offered and sold pursuant to an effective shelf registration statement that was previously filed with the Securities and Exchange Commission (“SEC”). This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such states. The offering is being made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act.