Kinder Morgan Tejas Pipeline LLC entered into an asset purchase agreement to acquire certain natural gas pipeline assets from Southcross Energy Partners, L.P. (OTCPK:SXEE.Q), Southcross Energy Partners GP, LLC, and others for $76 million on August 30, 2019. The total purchase price is $76 million and includes the Corpus Christi Pipeline Network and Bay City Lateral. At the closing, Kinder Morgan Tejas Pipeline LLC will pay $76 million in cash, minus a portion of any periodic non-income taxes prepaid by the sellers, plus reimbursement of up to $0.1 million to the extent sellers are required to make cure payments to non-debtor parties to assigned contracts. Kinder Morgan Tejas Pipeline LLC will also assume post-closing liabilities relating to the assets. Kinder Morgan Tejas Pipeline LLC is the stalking horse bidder in the transaction. In the event of termination of the transaction, Kinder Morgan Tejas Pipeline LLC shall receive a termination fee of $2.28 million. Sellers are entitled to retain the $7.9 million good faith deposit previously made by Kinder Morgan Tejas Pipeline if they terminate the agreement due to buyer’s breach or failure to close when required. The transaction is subject to Kinder Morgan Tejas Pipeline LLC being selected as the winning bidder at the auction, approval from bankruptcy court, and waiting period under the HSR Act, among others. On October 22, 2019, The United States Bankruptcy Court approved the merger. As of November 6, 2019, the transaction is expected to close In November. Marshall Huebner, Darren Klein, and Harold Birnbaum of Davis Polk & Wardwell LLP acted as legal advisors for Southcross Energy Partners, L.P. W. Cleland Dade and William A. Wood III of Bracewell LLP acted as legal advisors for Kinder Morgan Tejas Pipeline LLC.