KKR & Co. Inc. buys SemCAMS ULC Assets

CANADA - KKR & Co. Inc. of the US (KKR) agreed to acquire the assets of SemCAMS ULC (SemCAMS), a Calgary-based producer of crude petroleum and natural gas, ultimately owned by SemGroup Corp (SemGroup), for CAD 515 mil (USD 389.945 mil) in cash, in a formation of a joint venture via leveraged buyout transaction. Upon completion, SemGroup and KKR were to own 51% interest and 49% stake, in SemCAMS and was to be renamed SemCAMS Midstream ULC.

Date Announced: 01/10/2019
Deal Status (as of publication date): Pending
Deal Value (US mil): $390

ACQUIRER ADVISORS*
TD Securities Inc. (Financial Advisor)
Torys LLP (Legal Advisor)
Simpson Thacher & Bartlett LLP (Legal Advisor)

TARGET ADVISORS*
CIBC Capital Markets (Financial Advisor)
Evercore Partners (Financial Advisor)
Gibson, Dunn & Crutcher LLP (Legal Advisor)
Osler, Hoskin & Harcourt LLP (Legal Advisor)

KKR & Co Inc is a private equity firm. It is a global investment firm that manages investments across multiple asset classes, including private equity, energy, health care, infrastructure, real estate, credit and hedge funds. It offers a range of investment management services to its fund investors, and provides capital markets services to its firm, its portfolio companies and third parties. The Company conducts its business with offices across the world, providing it with a global platform for sourcing transactions, raising capital and carrying out capital markets activities. The Company operates through four segments: Private Markets, Public Markets, Capital Markets and Principal Activities. It operates and reports its combined credit and hedge funds businesses through the Public Markets segment. The Capital Markets segment consists primarily of its global capital markets business. Through its Principal Activities segment, it manages the firm's assets and deploys capital. The Company was founded in 1976 and is located in New York City, New York.

SemCAMS U.L.C., a subsidiary of SemGroup Corporation, is a gathering and processing business which provides midstream solutions for natural gas producers in Western Canada. SemCAMS is one of Alberta's largest licensed sour gas processors, with facilities located near Whitecourt and Fox Creek. The company also operates two sweet gas processing facilities in this region. SemCAMS is based in Calgary, Alberta, Canada.

Based in Tulsa, Oklahoma, SemGroup Corporation is a publicly traded midstream service company providing the energy industry the means to move products from the wellhead to the wholesale marketplace. SemGroup provides diversified services for end users and consumers of crude oil, natural gas, natural gas liquids, refined products, residual fuel oil and asphalt. Services include purchasing, selling, processing, transporting, terminalling and storing energy.

*List of advisors are those known at press time.

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