Delek Logistics Partners, LP (“Delek Logistics”), a Delaware limited partnership, announced today the pricing of its initial public offering of 8,000,000 common units representing limited partner interests in Delek Logistics at $21.00 per unit. The underwriters have been granted a 30-day option to purchase up to an additional 1,200,000 common units at the same price, less underwriting discounts, to cover over-allotments, if any. The common units are expected to begin trading on the New York Stock Exchange on November 2, 2012 under the ticker symbol “DKL.” The offering is expected to close on or about November 7, 2012, subject to customary closing conditions.
Upon conclusion of the offering, the public will own a 32.7% limited partner interest in Delek Logistics, or a 37.6% limited partner interest if the underwriters exercise, in full, their option to purchase additional common units. Affiliates of Delek US Holdings, Inc. (NYSE: DK) will hold a 2% general partner interest and a 65.3% limited partner interest in Delek Logistics, or a 60.4% limited partner interest if the underwriters exercise, in full, their option to purchase additional units.
BofA Merrill Lynch, Barclays, Goldman, Sachs & Co. and Wells Fargo Securities are acting as joint book-running managers for the offering. Deutsche Bank Securities, Raymond James and Simmons & Company International are acting as co-managers. This offering of common units will be made only by means of a prospectus. When available, a written prospectus, which meets the requirements of Section 10 of the Securities Act of 1933, may be obtained through:
BofA Merrill Lynch
222 Broadway, 7th Floor
New York, NY 10038
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, NY 11717
Goldman, Sachs & Co.
200 West Street
New York, NY 10282
Wells Fargo Securities
Equity Syndicate Department
375 Park Avenue
New York, NY 10152
A registration statement relating to these securities has been filed with, and declared effective by, the U.S. Securities and Exchange Commission (“SEC”). The registration statement is available on the SEC’s website at www.sec.gov under the registrant’s name. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.About Delek Logistics Partners, LP Delek Logistics Partners, LP was formed by Delek US Holdings, Inc. (NYSE: DK) to own, operate, acquire and construct crude oil and refined products logistics and marketing assets. Delek Logistics’ initial assets will consist of:
- Approximately 200 miles of transportation pipelines and a 600 mile crude oil gathering system, in addition to associated storage facilities with 1.4 million barrels of active shell capacity supporting Delek US’ El Dorado and Tyler refineries;
- The Paline pipeline, a 185 mile crude oil pipeline from Longview to Nederland, Texas;
- Delek US’ wholesale marketing business in Texas; and
- Five light product terminals, consisting of the Abilene, Big Sandy and San Angelo terminals in Texas as well as the Nashville and Memphis terminals in Tennessee.
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