Brookfield Infrastructure Announces the Acquisition of Colonial Enterprises
Brookfield Infrastructure Partners L.P. (“BIP”) (NYSE: BIP; TSX: BIP.UN) and its institutional partners (collectively, “Brookfield Infrastructure”) reached a definitive agreement to acquire 100% of the world-class midstream asset portfolio Colonial Enterprises (“Colonial”), which includes the Colonial Pipeline, for an enterprise value of approximately $9 billion or 9x EBITDA. Colonial is comprised of the largest refined products system in the U.S., spanning approximately 5,500 miles between Texas and New York. The business has a multi-decade track record of strong performance and high utilization serving a high-quality customer base along the U.S. East Coast.
At closing, BIP’s equity investment is expected to be $500 million, which represents approximately 15% of the total equity investment, funded entirely by proceeds from recently announced capital recycling initiatives. The transaction is expected to close in the second half of 2025, subject to customary closing conditions. Debt financing for the transaction was led by Morgan Stanley Senior Funding, Inc. and Mizuho Bank, Ltd., with Morgan Stanley Senior Funding, Inc. acting as sole bookrunner on the term loan facility. Brookfield Infrastructure engaged Jefferies LLC, Greenhill & Co. LLC, a Mizuho affiliate, and Morgan Stanley & Co. LLC as joint financial advisors and Kirkland & Ellis LLP as legal advisor.
About Brookfield Infrastructure
Brookfield Infrastructure is a leading global infrastructure company that owns and operates high-quality, long-life assets in the utilities, transport, midstream and data sectors across the Americas, Asia Pacific and Europe. We are focused on assets that have contracted and regulated revenues that generate predictable and stable cash flows. Investors can access its portfolio either through Brookfield Infrastructure Partners L.P. (NYSE: BIP; TSX: BIP.UN), a Bermuda-based limited partnership, or Brookfield Infrastructure Corporation (NYSE, TSX: BIPC), a Canadian corporation. Further information is available at https://bip.brookfield.com.