Western Midstream Completes $1.6B Brazos Delaware Acquisition with 19.4M Units Issued
WES•Western Midstream closed its $1.6 billion acquisition of Brazos Delaware II, split evenly between $800 million in cash and issuance of 19.4 million common units based on VWAP at signing. The deal expands its Delaware Basin gathering and processing footprint while preserving investment-grade credit ratings and accreting per-unit metrics.
1. Acquisition Terms
Western Midstream closed its acquisition of Brazos Delaware II for $1.6 billion, funding the purchase with $800 million in cash and issuing 19.4 million common units based on the volume-weighted average price at agreement signing.
2. Strategic Expansion
The acquisition extends Western Midstream’s gathering and processing network deeper into the Delaware Basin, diversifies its customer base, and supports the partnership’s capital deployment strategy focused on sustaining or growing distributions.
3. Financial Impact
Management expects the transaction to be accretive to per-unit metrics, maintain an investment-grade credit profile, protect the partnership’s balance sheet, and benefit from fee-based contracts that shield cash flows from commodity price swings.
