By Colin Kellaher
Chevron Corp. on Friday said it agreed to buy the rest of midstream infrastructure company Noble Midstream Partners LP for about $494 million in stock.
The San Ramon, Calif., oil giant, which already owns more than 60% of Noble, said it will issue 0.1393 shares for the remaining 33.9 million Noble units.
The deal values Noble at about $14.56 a unit based on Chevron's Thursday closing price of $104.50, below Noble's closing price of $15.05 but above the $12.47 value contained in a nonbinding buyout proposal Chevron made in February.
Chevron previously said the transaction, which it expects to complete in the second quarter, would combine two highly integrated businesses while streamlining governance of Noble's assets, which primarily serve Chevron as its largest customer.
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(END) Dow Jones Newswires