Magellan Midstream Partners and Buckeye Partners have announced that the required regulatory approval process for the sale of Magellan’s independent terminals to Buckeye is nearing its conclusion, with the transaction expected to close on or around June 8.
As announced in June 2021, Magellan agreed to sell its independent terminals network comprised of 26 refined petroleum products terminals with approximately 6 million barrels of storage located primarily in the southeastern US to Buckeye for $435 million.
As previously noted, Magellan intends to use the proceeds from this transaction consistent with its stated capital allocation priorities, including potential equity repurchases.
“Magellan would like to thank all of the employees dedicated to these facilities for their contributions and professionalism throughout the years and during this time of transition, and we wish them much success in the future,” said Aaron Milford, Magellan’s chief executive officer.
Todd Russo, Buckeye’s chief executive officer, added: “These terminals are highly complementary to Buckeye’s existing terminal business and enable us to further strengthen our offering to our valued customers in the southeastern US, and nationally. The team is excited to integrate these assets into our diversified global terminal network, and we welcome our new team members as we begin what will be a seamless transition for all customers.”
(Source: Tank News International. More here: www.magellanlp.com )