Altus Midstream Company (Nasdaq: ALTM) announced on Thursday that it has secured the approval of its shareholders for the previously announced business combination with BCP Raptor Holdco. The latter is the parent company of EagleClaw Midstream business.
With 88% of shareholders on record at the special meeting, 99% voted in favor of the merger. At closing, the combined company plans to change its name to Kinetik and will trade under the symbol “KNTK”.
“The name reflects the nature of the industry where we operate, and the combined company’s ambition to keep its customers, assets, people and sector in motion toward a lower carbon future,” said Jamie Welch, who will become CEO of Kinetik. Welch is currently the CEO of EagleClaw Midstream.
According to the terms of the agreement, Altus Midstream will issue 50 million Class C common shares to BCP unitholders which will result in 75% equity of the combined company. Apache Midstream’s equity will be reduced to 20% while the existing Altus Midstream shareholders will own 5% of the merger.
The all-stock transaction is expected to close on February 22, 2022. Until then, Altus Midstream remains listed on the Nasdaq under the symbol “ALTM”.
Altus Midstream last traded at US$65.05 on the Nasdaq.
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