Phillips 66 to Buy Rest of Pipeline Unit for $3.4 Billion (1)

U.S. refiner Phillips 66 agreed to buy the rest of its pipeline affiliate that it doesn’t already own in an all-stock-deal valued at about $3.4 billion, the latest effort to streamline midstream operations.

Investors in the affiliate, Phillips 66 Partners, will get 0.5 of a Phillips 66 share, the companies said Wednesday in a statement. The Partnership’s preferred units will be converted into common units at a premium to the original issuance price prior to exchange for Phillips 66 common stock. After the deal closes, which is expected in the first quarter of 2022, the pipeline operator will ...