Deals
Kinder Morgan Judge Urged to Block $44 Billion Buyout
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Billionaire Richard Kinder should be blocked from pushing ahead with a $44 billion consolidation of his oil-pipeline empire until he wins the approval of two-thirds of investors in one of the partnerships he’s seeking to acquire, a lawyer argued.
The voting rights of Kinder Morgan Energy Partners LP unitholders, who put money in the pipeline company because of its tax-deferred structure, are improperly altered under Kinder’s offer to acquire the partnership, Nathaniel Orenstein, a lawyer for investors, told a judge. Investors also complain that they’ll face hefty tax bills as a result of the deal.