InstarAGF acquires Buckeye Partners’ pipeline and terminal assets for US $450M

CPE Media News (12/19/2018) – InstarAGF Asset Management Inc., through JET Infrastructure Holdings, has acquired jet fuel pipeline and terminal facilities serving major airports in the United States from Buckeye Partners, LP (NYSE: BPL) for US $450 million. The investment was made alongside several of InstarAGF’s co-investors.

The infrastructure assets acquired by JET include a jet fuel pipeline from Port Everglades, Florida to the airports in Fort Lauderdale and Miami, Florida; pipelines and terminal facilities serving the airports in Reno, Nevada, San Diego, California and Memphis, Tennessee; and refined petroleum products terminals that serve major urban growth centers in Sacramento and Stockton, California.

Buckeye Development & Logistics, LLC, a wholly- owned subsidiary of Buckeye Partners, LP, will continue to operate and maintain the assets under a long-term contract.

InstarAGF was advised by ING Financial Markets LLC and King & Spalding LLP in connection with the acquisition.

photo credit: Buckeye Partners

News Release

InstarAGF ASSET MANAGEMENT ACQUIRES JET FUEL PIPELINE AND TERMINAL ASSETS IN UNITED STATES

Investment broadens InstarAGF’s footprint in critical aviation infrastructure

Toronto, Ontario (December 18, 2018) — InstarAGF Asset Management Inc. (“InstarAGF”) today announced that JET Infrastructure Holdings (“JET”), a wholly-owned subsidiary, has acquired jet fuel pipeline and terminal facilities serving major airports in the United States from Buckeye Partners, LP (“Buckeye”), alongside several of InstarAGF’s co-investors. The assets will continue to be operated and maintained under a long-term contract by Buckeye Development & Logistics, LLC (“BDL”), a wholly- owned subsidiary of Buckeye, which provides best-in-class operations and maintenance, asset development and construction services for pipeline and energy assets across the United States.

The infrastructure assets acquired by JET include a jet fuel pipeline from Port Everglades, Florida to the airports in Fort Lauderdale and Miami, Florida; pipelines and terminal facilities serving the airports in Reno, Nevada, San Diego, California and Memphis, Tennessee; and refined petroleum products terminals that serve major urban growth centers in Sacramento and Stockton, California.

InstarAGF, which focuses on mid-sized infrastructure assets in North America in the energy, utilities and civil infrastructure sectors, manages high quality transportation and aviation infrastructure businesses across the continent. This diversified portfolio includes AMPORTS, Inc., a specialty port operator with multiple locations in the United States forming an essential component of the North American automotive supply chain; an interest in the passenger terminal at Billy Bishop Toronto City Airport, a vital transportation hub for the city of Toronto and surrounding region; and Skyservice, Canada’s leading provider of essential business aviation services.

“This is an excellent opportunity for InstarAGF to acquire a portfolio of critical, high quality aviation infrastructure assets with utility-like characteristics serving major hub and origination and destination airports in the United States,” said Gregory J. Smith, President and Chief Executive Officer of InstarAGF. “These assets are competitively positioned, underpinned by long-term contracts, and poised for future growth as our customers expand operations and air travel continues to increase. We are also delighted to partner with BDL to deliver continuing reliable, seamless service to customers with a priority on safety for employees, stakeholders and communities.”

InstarAGF did not disclose the financial terms of the transaction. InstarAGF was advised by ING Financial Markets LLC and King & Spalding LLP.

About InstarAGF Asset Management

Launched in 2014, InstarAGF is an independent alternative asset management firm with an emphasis on North American middle-market opportunities in the infrastructure sector and other alternative real asset categories. InstarAGF, which makes direct investments and co-investments with like-minded investors and strategic partners, is a joint venture between Instar Group Inc., a company owned by Gregory J. Smith, and AGF Management Limited, one of Canada’s largest independent investment management firms. For more information: www.instaragf.com

For More Information:
Media
Sarah Borg-Olivier
Senior Vice President
InstarAGF Asset Management Inc.
Tel: (416) 815-6260
Email: sarah.borg-olivier@instaragf.com

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