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Archrock to acquire remaining stake in its MLP in $607M deal

Olivia Pulsinelli
American City Business Journals

Houston-based Archrock Inc. (AROC) announced Jan. 2 that it will acquire the remaining outstanding common units of its master limited partnership, Archrock Partners LP (APLP), in an all-stock deal valued at $607 million. Once the deal is complete, Archrock Partners common units will no longer be publicly traded, and the incentive distribution rights in the MLP will be terminated, according to the companies’ press release. Under the terms of the deal, Archrock will acquire all of the approximately 41.3 million outstanding units of the MLP that it doesn’t already own, with each unit being converted into 1.4 Archrock common shares, per the release.