DENVER — QEP Midstream Partners, LP (NYSE:QEPM) (the “Partnership”) today announced that it has acquired 40% of the outstanding membership interest in Green River Processing, LLC (“Green River Processing”) for $230 million in cash from QEP Field Services Company, a wholly owned subsidiary of QEP Resources, Inc. (NYSE: QEP) (“QEP”). This transaction represents the Partnership’s first acquisition following its initial public offering in August 2013. The acquisition is expected to be immediately accretive to the Partnership’s distributable cash flow per unit. The Partnership used cash on hand and proceeds from its $500 million credit facility to fund the acquisition.
The acquisition closed on July 1, 2014 with an effective date of July 1, 2014. The terms of the acquisition were approved by the Board of Directors of the General Partner, based on the approval and recommendation of the Conflicts Committee, which is comprised entirely of independent directors. The Conflicts Committee was advised by Tudor, Pickering, Holt & Co. regarding financial matters and Andrews Kurth LLP regarding legal matters.