November 2019

IFM buys Buckeye Partners for $10.3B

Acquisition will bolster IFM's midstream energy infrastructure

IFM Investors Pty Ltd. completed the purchase of Buckeye Partners, L.P. on Nov. 1. All of the outstanding limited partnership units of Buckeye were converted into the right to receive $41.50 per limited partnership unit. The all-cash transaction is valued at $10.3 billion enterprise value and $6.5 billion equity value. This will add one of the largest diversified networks of integrated midstream assets to IFM’s energy infrastructure in North America.

Buckeye’s assets include 6,000 miles of pipeline, with more than 100 delivery locations and 115 liquid petroleum products terminals with aggregate tank capacity of over 118 million barrels, and a network of marine terminals located primarily in the East and Gulf Coast regions of the U.S., as well as in the Caribbean.

“Buckeye represents a natural extension of IFM’s expertise in investing in, operating and growing essential midstream energy infrastructure in North America,” said Jamie Cemm, Executive Director of IFM.

“The completion of this transaction marks a significant milestone in Buckeye’s 133-year history,” said Clark C. Smith, President & CEO of Buckeye. “This ownership structure will provide Buckeye with superior access to capital to execute on its long-term business strategy, and we look forward to working with IFM during this next chapter in Buckeye’s story.”