In the continuing realignment of potential data center infrastructure, Ares Management on Monday (Sept. 29), announced its $1.1 billion, all-cash acquisition of Meade Pipeline, a 40 percent owner of a major natural gas pipeline in the Northeast — the Central Penn Line.
With the purchase Ares acquires the Meade Pipeline equity interests of XPLR Infrastructure, an independent created by Next Era Energy.
The Central Penn Line is a 180-mile, federally regulated natural gas pipeline that connects the Marcellus and Utica Shale of Northeastern Pennsylvania with the Transcontinental Gas Pipe Line owned by Williams Companies. With a capacity of 2.3 bcf per day, the CPL delivers natural gas to demand centers in the Northeast, Mid-Atlantic and the Southeastern U.S.
Morgan Stanley and Wells Fargo advised Ares and J.P. Morgan counseled XPLR on financing.
Sidley Austin is serving as outside legal counsel to Ares. Hogan Lovells is advising XPLR on legal matters.
The Sidley team was led from Texas by partners Tim Chandler in Houston, Jeremy Pettit in Dallas and Daniel Allison in Houston.
The Sidley team also included Kenneth Irvin (Washington, D.C.), Quan Lu (Houston), Laura Elledge (Houston), Chanse Barnes (Houston), Courtney Luster (Dallas), Grace Dickson Gerbas (Dallas), Courtney Beloin (Houston), Di Duan (Houston), Estella Serrano (Dallas), John E. Walker (Dallas), Julia Turner (Houston), Candice Liang (Houston), Priya Kareddy (Washington, D.C.), Mary Marks (New York), Heather Palmer (Houston) and Scott Goldstein (Chicago), Elizabeth McCloy (Chicago), Brandon Bryer (Chicago), Evan Turcotte (Chicago), Renaud Poizat (Washington, D.C.), Zackary Pullin (Houston), Angela Richards (Houston), Andrew Smith (New York).