Navios Acquisition in merger talks with Navios Midstream

Jul 06 2018

Tanker owner, Navios Maritime Acquisition Corp has submitted a proposal to Navios Midstream Partners’ board to acquire its publicly held units not already owned by the company in a stock for units exchange deal.

Subject to negotiation and execution of a definitive agreement, Navios Acquisition is proposing to offer 6.292 shares for each outstanding publicly held unit of Navios Midstream, as part of a transaction that would be structured as a merger of the two companies.

This proposal represents a value of $3.838 per common unit of Navios Midstream based on the closing price of Navios Acquisition’s shares as of 28th June, 2018. The proposed transaction is expected to be a tax-free exchange to Navios Midstream’s unit holders for US federal income tax purposes, the company claimed.

The merger is subject to the negotiation and execution of a definitive agreement, approval of Navios Acquisition’s board and the necessary approvals under Navios Midstream’s limited partnership agreement, the company said.