Mergers and Acquisitions Review: TPC Group Receives Offer, Marathon Buys BP Assets
The Blackstone Group (NYSE:BX) and Innospec (NASDAQ:IOSP) have made a non-binding all-cash acquisition bid for TPC Group (NASDAQ:TPCG) at between $44 and $46 per share. However, the board still prefers the August $40 buyout bid from First Reserve and SK Capital, but anticipates that Innospec’s play will ultimately prove superior.
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Marathon Petroleum Corp. (NYSE:MPC) will acquire BP’s (NYSE:BP) 451,000 barrels-per-day Texas City refinery, three intrastate natural gas pipelines and a number of other assets for $598 million, along with inventories estimated at $1.2 billion. An earnout provision could force MPC to pay as much as $700 million more over six years, but Marathon expects that the transaction will be accretive to earnings in the first year of operation.