Transaction HighlightsSXCP expects the Convent Marine Terminal acquisition to:
- Contribute an estimated $60 million to Adjusted EBITDA in 2016, implying a 6.9x transaction multiple on the terminal's expected 2016 Adjusted EBITDA
- Drive distributable cash flow per limited partner unit accretion of $0.17 - $0.22 in 2016, depending on final financing decisions
- Result in cash distributions per unit exceeding the 50 percent tier for incentive distribution rights after the transaction closes, delivering approximately $16 million in pre-tax incremental distributions to SunCoke Energy, Inc. (NYSE: SXC), our general partner, in 2016
- $82.4 million of SXCP common limited partnership units issued to The Cline Group, subject to a lock-up period which vests in four ratable installments over a four-year period
- $115.0 million of seller financing at competitive market terms
- $214.6 million to be initially funded with cash and revolver, termed out as appropriate, to maintain our targeted 3.5x to 4.0x leverage range
- Citi MLP/Midstream Infrastructure Conference, August 19-20, 2015, Las Vegas, NV
- Deutsche Bank Leveraged Finance Conference, September 28-30, 2015, Scottsdale, AZ
- SXCP's operating performance as compared to other publicly traded partnerships, without regard to historical cost basis;
- the ability of SXCP's assets to generate sufficient cash flow to make distributions to SXCP's unitholders;
- SXCP's ability to incur and service debt and fund capital expenditures; and
- the viability of acquisitions and other capital expenditure projects and the returns on investment of various investment opportunities.
FORWARD-LOOKING STATEMENTSSome of the statements included in this press release constitute "forward-looking statements." Forward-looking statements include all statements that are not historical facts and may be identified by the use of such words as "believe," "expect," "plan," "project," "intend," "anticipate," "estimate," "predict," "potential," "continue," "may," "will," "should" or the negative of these terms or similar expressions. Forward-looking statements are inherently uncertain and involve significant known and unknown risks and uncertainties (many of which are beyond the control of SXCP) that could cause actual results to differ materially. Such risks and uncertainties include, but are not limited to domestic and international economic, political, business, operational, competitive, regulatory and/or market factors affecting SXCP, as well as uncertainties related to: pending or future litigation, legislation or regulatory actions; liability for remedial actions or assessments under existing or future environmental regulations; gains and losses related to acquisition, disposition or impairment of assets; recapitalizations; access to, and costs of, capital; the effects of changes in accounting rules applicable to SXCP; and changes in tax, environmental and other laws and regulations applicable to SXCP's businesses. Forward-looking statements are not guarantees of future performance, but are based upon the current knowledge, beliefs and expectations of SXCP management, and upon assumptions by SXCP concerning future conditions, any or all of which ultimately may prove to be inaccurate. The reader should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. SXCP does not intend, and expressly disclaims any obligation, to update or alter its forward-looking statements (or associated cautionary language), whether as a result of new information, future events or otherwise after the date of this press release except as required by applicable law. SXCP has included in its filings with the Securities and Exchange Commission cautionary language identifying important factors (but not necessarily all the important factors) that could cause actual results to differ materially from those expressed in any forward-looking statement made by SXCP. For information concerning these factors, see SXCP's Securities and Exchange Commission filings such as its annual and quarterly reports and current reports on Form 8-K, copies of which are available free of charge on SXCP's website at www.sxcpartners.com. All forward-looking statements included in this press release are expressly qualified in their entirety by such cautionary statements. Unpredictable or unknown factors not discussed in this release also could have material adverse effects on forward-looking statements.