acquisition of Kildair Service Ltd.

Energy
acquisition of Kildair Service Ltd.

Summary

Baird served as financial advisor and provided a fairness opinion to the Conflicts Committee of the Board of Directors of Sprague Resources GP LLC on this transaction.

About

Sprague Resources LP (the “Partnership”) (NYSE: SRLP) recently announced the acquisition of Kildair Service Ltd. (“Kildair”) through the acquisition of the equity interests of Kildair’s parent, Sprague Canadian Properties LLC, for total consideration of $175 million, which included $10 million in privately placed common units of SRLP.

Kildair owns a major terminal in Sorel-Tracy, Quebec, on the St. Lawrence River where it maintains 3.2 million barrels of residual fuel, asphalt and crude oil storage. Kildair’s primary businesses include marketing of residual fuel both locally and for export, marketing of asphalt including polymer modified grades and crude-by-rail handling services. Kildair's terminal has extensive blending infrastructure allowing the ability to process a wide range of varying quality blend components. The facility also includes an asphalt and residual fuel oil testing laboratory, 25 truck and railcar loading and offloading racks, 120 railcars of offloading capacity, including 60 in the new crude oil rail offloading section and a dock with the capability to receive ships with up to 450,000 barrels of capacity. Kildair is headquartered in Sorel-Tracy, Quebec.

Sprague Resources LP is a master limited partnership engaged in the purchase, storage, distribution and sale of refined petroleum products and natural gas. The Partnership also provides storage and handling services for a broad range of materials. Sprague Resources LP is headquartered in Portsmouth, New Hampshire.

For additional information about this transaction, please contact:

Frank Murphy +1 (314) 445-6532
Kjell Lundal +1 (314) 445-6533
Energy
acquisition of Kildair Service Ltd.
Date
December 2014
Company
Sprague Resources LP
Transaction
M&A
Sectors
Energy
Target Location
North America
Acquiror Location
North America

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