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Blackstone Sweetens Tallgrass Bid to End ‘Tumultuous Ride’

  • Offer for pipeline operator 15% higher than initial proposal
  • Tortoise wrote a letter in September pushing for higher offer
Pedestrians pass in front of Blackstone Group LP headquarters in New York, U.S., on Friday, April 14, 2017.
Pedestrians pass in front of Blackstone Group LP headquarters in New York, U.S., on Friday, April 14, 2017.Photographer: Victor J. Blue/Bloomberg
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Blackstone Infrastructure Partners LP agreed to buy out the remaining shares of U.S. pipeline operator Tallgrass Energy LP for about $2.2 billion after sweetening an initial offer made almost four months ago.

Blackstone and its affiliates will acquire Tallgrass’s Class A shares for $22.45 apiece, the pipeline company said in a statement Tuesday, 15% higher than the original proposal. Tallgrass jumped 21% to $22.10 at 10:33 a.m. in New York.