SemGroup Announces Public Offering

SemGroup, L.P. has announced a proposed public offering of 12,500,000 common units, representing limited partner interests in SemGroup Energy Partners, L.P. to be sold by a wholly owned subsidiary of SemGroup.

The filing includes an option for the underwriters to purchase up to an additional 1,875,000 common units to be sold by SemGroup Energy Partners. An application has been made to have the units quoted on the NASDAQ Global Market under the symbol “SGLP.”

Proceeds from this offering, together with proceeds received from SemGroup Energy Partners will be used by SemGroup to reduce amounts outstanding under its senior secured credit facilities.

SemGroup Energy Partners will use any proceeds it receives from the underwriters’ over-allotment option to reduce outstanding borrowings under its proposed credit facility.

As currently filed, the common units offered to the public will represent approximately 59.3 percent of the outstanding equity of SemGroup Energy Partners, or approximately 62.5 percent if the underwriters exercise in full their over-allotment option.

SemGroup will remain a privately held company and will indirectly own the remaining equity interests in SemGroup Energy Partners.

Citigroup Global Markets Inc. will act as the bookrunning manager of the offering.



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