CVR Energy cancels offering of CVR Partners units

CVR Energy scraps public offering of CVR Partners units after Icahn takes control of company

Associated Press

SUGAR LAND, Texas (AP) -- CVR Energy, which is being acquired by Carl Icahn, said it no longer plans to sell shares in its nitrogen fertilizer company through a public offering.

CVR owns the general partner of CVR Partners LP and about 70 percent of its common units representing limited partner interests.

CVR Energy's announcement of the cancelation in a filing with the Securities and Exchange Commission comes after Icahn acquired a stake large enough to give him control of 69 percent of the outstanding shares.

Icahn $2.26 billion for the shares he doesn't already own, valuing the company at about $2.6 billion.

CVR Energy's board argued that the company was worth more, but deferred to its shareholders, who sold their stock.

A second tender offer period for shareholders who have not already tendered their stock is set to end on May 18. The new offer is still for $30 per share plus a contingent value right that part of the original offer.

Shares of CVR Energy Inc. rose 6 cents to $30.41, while CVR Partners units rose 53 cents, or 2.4 percent, to $22.68.

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