HollyFrontier and Holly Energy Partners Announce IDR Simplification Agreement
Vinson & Elkins provided tax counsel to Holly Energy Partners, L.P. (Holly Energy) in connection with Holly Energy and HEP Logistics Holdings, L.P.’s (HEP GP) definitive agreement to eliminate the incentive distribution rights held by HEP GP and convert HEP GP’s 2% general partner interest in Holly Energy into a non-economic interest in exchange for the issuance by Holly Energy of 37,250,000 of its common units to HEP GP, representing total equity value of $1.25 billion based on Holly Energy’s previous closing day price of $33.56.
Energy Partners, L.P., headquartered in Dallas, Texas, provides petroleum
product and crude oil transportation, terminalling, storage and throughput
services to the petroleum industry, including HollyFrontier
The V&E tax team
included partners Jim Meyer and Ryan Carney and associate Brian Russell.