• Subscribe
  • Log In
  • Sign up for email updates
  • Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

The Texas Lawbook

Free Speech, Due Process and Trial by Jury

  • Appellate
  • Bankruptcy
  • Commercial Litigation
  • Corp. Deal Tracker/M&A
  • GCs/Corp. Legal Depts.
  • Firm Management
  • White-Collar/Regulatory
  • Pro Bono/Public Service/D&I

Kirkland, Latham Advise on ONEOK’s $18.8B Acquisition of Magellan Midstream

May 14, 2023 Allen Pusey

In the one of the largest mergers this year of a domestic public company — and the largest in 2023 of a publicly traded oil and gas concern — Tulsa-based natural gas transmission giant ONEOK has agreed to acquire crosstown energy infrastructure rival Magellan Midstream for $18.8 billion.

ONEOK agreed to pay $25 in cash per share of Magellan, along with an exchange of 0.6670 shares of ONEOK common stock. The cash and stock imply a $67.50 price of Magellan units, representing a 22 percent premium based on Friday’s closing prices. Once the deal is closed — as expected in Q3 2023 — Magellan will become a 100 percent owned subsidiary of ONEOK. The deal includes ONEOK’s assumption of Magellan debt.

Stephen B. Allen, senior vice president and general counsel of ONEOK, tapped Kirkland & Ellis as outside legal advisors. Douglas May, SVP and general counsel of Magellan, chose Latham & Watkins and Richards, Layton & Finger for outside advice. Allen and May are alumni of GableGotwals, a prominent Oklahoma law firm.

The Kirkland team advising ONEOK was led from Houston by corporate partners Sean Wheeler, Debbie Yee, Camille Walker and John Furlow; tax partner David Wheat. Partner Rob Fowler advised on executive compensation, partner Julian Seiguer on capital markets and partner Rachel Lichman on debt finance.

The Latham team advising Magellan was led by Houston partners Ryan Maierson and Kevin Richardson, with associates Denny Lee, Ben Marek, Molly Elkins and Justin Reinking. Advice was also provided on executive compensation, employment and benefits by Washington, D.C. partner David Della Rocca and Washington, D.C. counsel Laura Szarmach, with associate Bryce Williamson; on antitrust matters by Washington, D.C. partner Jason Cruise, with associates Caitlin Fitzpatrick and Ivy Ziedrich; on tax matters by Houston partner Tim Fenn and Bryant Lee, with associates Mike Rowe and Dylan White; on environmental matters by Los Angeles/Houston partner Joshua Marnitz, with associate Joseph Kmetz; on energy regulatory matters by Washington, D.C. partner Patrick Nevins; and on finance matters by Houston partner Craig Kornreich, with associates Max Fin and Michael Basist.

On the finance side Goldman Sachs is acting as financial advisors to ONEOK and Goldman Sachs Bank USA is providing bridge financing for the deal. BofA Securities and TPH&Co, the energy business of Perella Weinberg Partners also advised ONEOK.

For Magellan, Morgan & Stanley advised.

While both companies are energy midstream operators, ONEOK focuses its network on the gathering, processing, transportation and storage of Natural Gas Liquids. Magellan owns the longest refined petroleum pipeline system in the country through which it holds access to nearly half the U.S. refining capacity.

The combined company will own more than 25,000 miles of liquids-oriented pipelines, including complementary assets at the Gulf Coast and Mid-Continent market hubs. ONEOK said in a statement that the combined liquids-focused portfolio will increase ONEOK product offerings and international export opportunities, as well as operational synergies that could exceed $400 million “within two to four years.”

Allen Pusey

Allen Pusey is a senior editor and writer at The Texas Lawbook.

View Allen’s articles

Email Allen

©2025 The Texas Lawbook.

Content of The Texas Lawbook is controlled and protected by specific licensing agreements with our subscribers and under federal copyright laws. Any distribution of this content without the consent of The Texas Lawbook is prohibited.

If you see any inaccuracy in any article in The Texas Lawbook, please contact us. Our goal is content that is 100% true and accurate. Thank you.

Primary Sidebar

Recent Stories

  • ‘Whatever It Takes’: San Antonio Lawyer Joins Frontline Flood Recovery in His Hometown
  • Texas-sized Ambition: Huntington Banks on Middle Market with $1.9B Purchase of Prized Veritex
  • CDT Roundup: AI Gets Amped in Somewhat Quiet Week for Deals
  • Zavitsanos Twins Set Their Sights on Filmmaking, Law
  • Genesis Healthcare Files Chapter 11 in NDTX

Footer

Who We Are

  • About Us
  • Our Team
  • Contact Us
  • Submit a News Tip

Stay Connected

  • Sign up for email updates
  • Article Submission Guidelines
  • Premium Subscriber Editorial Calendar

Our Partners

  • The Dallas Morning News
The Texas Lawbook logo

1409 Botham Jean Blvd.
Unit 811
Dallas, TX 75215

214.232.6783

© Copyright 2025 The Texas Lawbook
The content on this website is protected under federal Copyright laws. Any use without the consent of The Texas Lawbook is prohibited.