The deal comes at a 22.47% premium from Monday’s closing price

Blackstone Infrastructure Partners has announced it will purchase the remaining shares of Tallgrass Energy that it doesn’t own. The latest offer of $22.45 per Class A share was a 22.7% premium to the stock’s closing price Monday.

Tallgrass is a midstream energy company with operations in 11 states. The firm has transportation, storage, terminal, water, gathering and processing assets that serve some of the most prolific crude oil and natural gas basins. It had previously received a takeover offer from Blackstone and its partners earlier this summer. Tallgrass promptly hired a Conflicts Committee, which accepted the deal in a statement on Tuesday.

Blackstone Infrastructure Partners Gets Its Buy

BIP had already owned a stake in Tallgrass. Through its affiliates Enagas SA, GIC, NPS, and USS, the group owned roughly 44% of the firm’s Class A and Class B stock.  Blackstone Infrastructure Partners will use about $3 billion in equity and the rest in debt to finance the deal. The deal will bring Tallgrass’s public float to roughly $4.02 billion.

The transaction will likely close in the second quarter of 2020. It still must meet the satisfaction of customary conditions, including approval of the merger by holders.