Energy Transfer LP (NYSE: ET) and Enable Midstream Partners, LP (NYSE: ENBL) have announced that they have entered into a definitive merger agreement whereby Energy Transfer will acquire Enable in an all-equity transaction valued at approximately US$7.2 billion. Under the terms of the agreement, Enable common unitholders will receive 0.8595 ET common units for each Enable common unit, an exchange ratio that represents an at-the-market transaction, based on the 10-day volume-weighted average price of ET and Enable common units on February 12, 2021. In addition, each outstanding Enable Series A preferred unit will be exchanged for 0.0265 Series G preferred units of Energy Transfer. The transaction will include a US$10 million cash payment for Enable’s general partner.

Latham & Watkins LLP represents Energy Transfer in the transaction with a corporate deal team led by Houston partners Bill Finnegan and Kevin Richardson, with associates Thomas Verity, Daniel Harrist, Madeleine Neet, Luke Strother, Austin Johnson, and Michael Basist. Advice was also provided on tax matters by Houston partners Tim Fenn and Bryant Lee and Los Angeles partner Larry Stein, with associates Michael Rowe and Dominick Constantino; on finance matters by Houston partners Craig Kornreich and Pamela Kellet, with associate Matthew Snodgrass; on antitrust matters with Washington, D.C. partner Jason Cruise and Washington, D.C. counsel Peter Todaro; on environmental matters by Houston partner Joel Mack and Los Angeles counsel Joshua Marnitz; on regulatory matters by Washington, D.C. partner Eugene Elrod, with associate Christopher Randall; and on benefits and compensation matters by Washington, D.C. partner Adam Kestenbaum, with associate Courtney Thomson.