Item 1.01 Entry into a Material Definitive Agreement.
Underwriting Agreement
On January 30, 2017, Summit Midstream Partners, LP (the Partnership) entered into an underwriting agreement (the Underwriting Agreement), by and among the Partnership, Summit Midstream GP, LLC (the General Partner), Summit Midstream Holdings, LLC (the Operating Company, and together with the Partnership and the General Partner, the Partnership Parties), Summit Midstream Partners Holdings, LLC (the Selling Unitholder) and Barclays Capital Inc., as underwriter (the Underwriter), providing for the offer and sale (the Offering) by the Selling Unitholder of 4,000,000 Common Units representing limited partner interest in the Partnership (Common Units), at a price to the public of $24.00 per Common Unit ($23.66 per Common Unit, net of underwriting discounts). Pursuant to the Underwriting Agreement, the Selling Unitholder also granted the Underwriter an option for a period of 30 days to purchase up to an additional 600,000 Common Units, if any, on the same terms.
The material terms of the Offering are described in a prospectus, dated January 30, 2017 (the Prospectus), filed by the Partnership with the United States Securities and Exchange Commission (the Commission) on February 1, 2017, pursuant to Rule 424(b)(5) under the Securities Act of 1933, as amended (the Securities Act). The Offering is registered with the Commission pursuant to a Registration Statement on Form S-3, as amended (File No. 333-213950), which was declared effective by the Commission on November 22, 2016. Certain legal opinions relating to the Offering are filed herewith as Exhibit 8.1.
The Underwriting Agreement contains customary representations, warranties and agreements of the Partnership Parties and the Selling Unitholder, and customary conditions to closing, obligations of the parties and termination provisions. The Partnership Parties and the Selling Unitholder have agreed to indemnify the Underwriter against certain liabilities, including liabilities under the Securities Act, or to contribute to payments the Underwriter may be required to make because of any of those liabilities.
The Offering closed on February 3, 2017. The Partnership will not receive any of the proceeds from the Offering.
As more fully described under the caption Underwriting in the Prospectus, the Underwriter has in the past provided and may from time to time in the future provide commercial banking, investment banking and advisory services in the ordinary course of their business for the Selling Unitholder, the Partnership Parties and their respective affiliates for which they have received and in the future will be entitled to receive, customary fees and reimbursement of expenses.
The foregoing description of the Underwriting Agreement is not complete and is qualified in its entirety by reference to the full text of the Underwriting Agreement, which is attached as Exhibit 1.1 to this Current Report on Form 8-K and incorporated in this Item 1.01 by reference.