As previously announced, Golar LNG Partners LP (GMLP), a wholly owned subsidiary of Golar LNG Limited, filed a registration statement with the U.S. Securities and Exchange Commission for an initial public offering of the GMLP’s common units. The Offering currently is scheduled to include the sale by Golar of 12,000,000 common units, representing a 30.1% limited partner interest in GMLP, and to increase to 13,800,000 common units if the underwriters exercise in full their over-allotment option.The initial public offering price of the common units is expected to be between $20.00 and $22.00 per common unit, which would raise gross cash proceeds at the mid point of the price range of $252 million. The Offering is expected to price the week of April 4, 2011.
Golar intends to use the net proceeds from its sale of the common units to expand its fleet.
Immediately following the closing of the offering, Golar will own the GMLP’s general partner and an approximate 67.9% limited partner interest in the GMLP. Golar will also own 81% of the GMLP’s incentive distribution rights, which will entitle it to increasing percentages of the cash the GMLP distributes in excess of certain target distribution amounts. Golar LNG Energy Limited will own the remaining 19% of the incentive distribution rights.
Following the closing of the Offering, Golar anticipates entering into discussions with Golar LNG Energy Limited in order to seek a mutually beneficial integration between the two companies.
[mappress]
Source: Golar LNG, March 31, 2011;