Apache and Kayne Anderson Acquisition Corporation Announce Closing of Transaction to Create Altus Midstream Company, a Pure-P...
November 12 2018 - 8:00AM
Altus Midstream will trade on the Nasdaq
with the ticker symbols ALTM and ALTMW beginning Nov. 12,
2018
Apache Corporation (NYSE, Nasdaq: APA) and Kayne Anderson
Acquisition Corporation (“KAAC”), a special purpose acquisition
company (SPAC), which previously traded on the Nasdaq under the
ticker symbols KAAC and KAACW, today announced the completion of
the previously announced business combination to create Altus
Midstream Company (Nasdaq: ALTM, ALTMW), currently the only
publicly traded, pure-play, Permian Basin midstream C-corporation.
The transaction was approved by KAAC shareholders Nov. 6, 2018.
Upon closing, KAAC changed its name to Altus Midstream Company. The
Company’s Class A common stock and warrants will begin trading
on the Nasdaq Monday, Nov. 12, 2018, under the symbols ALTM and
ALTMW, respectively.
“Altus Midstream is anchored by a world-class unconventional
resource play in Alpine High and a premier sponsor in Apache
Corporation, which currently owns approximately 79 percent of the
company,” said Brian Freed, Altus Midstream CEO and president. “Our
high-growth gathering and processing business, along with our
options to purchase equity interests in five top-tier, Permian
Basin pipeline projects, will drive market-leading growth at Altus
Midstream for years to come. With no debt and a substantial cash
position, we have the financial strength and access to a low cost
of capital to fund our identified organic growth as well as pursue
other attractive opportunities, such as crude and water gathering
in Alpine High, third-party gathering and processing business, and
mergers and acquisitions.”
Additionally, on Nov. 9, 2018, Altus Midstream entered into a
credit agreement providing for an $800 million unsecured five-year
revolving credit facility, with initial capacity of $450 million,
the eventual ability to upsize the facility to $1.5 billion, and
two one-year extension options. Pricing for the credit facility
ranges between LIBOR + 1.05 percent to 1.425 percent.
“We have put in place a favorable revolving credit facility that
provides Altus Midstream with flexible access to capital at
attractive pricing and facilitates the ability to finance our
growth plans,” said Ben Rodgers, Altus Midstream CFO.
About Altus Midstream CompanyAltus Midstream
Company is a pure-play, Permian Basin midstream
C-corporation. Altus Midstream and/or its subsidiaries
own substantially all of the gas gathering,
processing and transportation assets servicing Apache
Corporation’s production in the Alpine High play in
the Delaware Basin. Altus Midstream posts announcements,
operational updates, investor information and press releases on its
website, www.altusmidstream.com.
About Apache Apache Corporation is an oil and
gas exploration and production company with operations in the
United States, Egypt and the United Kingdom. Apache posts
announcements, operational updates, investor information and press
releases on its website, www.apachecorp.com, and on its Media and
Investor Center mobile application, which is available for free
download from the Apple App Store and the Google Play store.
Forward-looking statementsThis news release
includes certain statements that may constitute “forward-looking
statements” for purposes of the federal securities laws.
Forward-looking statements include, but are not limited to,
statements that refer to projections, forecasts or other
characterizations of future events or circumstances, including any
underlying assumptions. The words “anticipate,” “believe,”
“continue,” “could,” “estimate,” “expect,” “intends,” “may,”
“might,” “plan,” “seeks,” “possible,” “potential,” “predict,”
“project,” “guidance,” “outlook,” “should,” “would,” “will,” and
similar expressions may identify forward-looking statements, but
the absence of these words does not mean that a statement is not
forward-looking. These statements include, but are not limited to,
statements about future plans, expectations, and objectives for
Altus Midstream’s and Apache’s operations, including statements
about our strategy, future operations, financial position,
estimated revenues and losses, projected costs, prospects, plans,
and objectives of management. While forward-looking statements are
based on assumptions and analyses made by us that we believe to be
reasonable under the circumstances, whether actual results and
developments will meet our expectations and predictions depend on a
number of risks and uncertainties which could cause our actual
results, performance, and financial condition to differ materially
from our expectations. See "Risk Factors" in our Definitive Proxy
Statement dated October 22, 2018 filed with the Securities and
Exchange Commission for a discussion of risk factors that affect
our business. Any forward-looking statement made by us in this news
release speaks only as of the date on which it is made. Factors or
events that could cause our actual results to differ may emerge
from time to time, and it is not possible for us to predict all of
them. We undertake no obligation to publicly update any
forward-looking statement, whether as a result of new information,
future development or otherwise, except as may be required by
law.
Contacts for Apache and Altus Midstream
Media: (713) 296-7276 Castlen Kennedy
Phil
West
Investors: (281) 302-2286 Gary
Clark
Websites: www.altusmidstream.com, www.apachecorp.com
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