Hess Midstream LP announces $100M sponsor unit repurchase

Hess Midstream LP announced the execution of a definitive agreement providing for the repurchase of approximately $100M of Class B units by its subsidiary, Hess Midstream Operations, from affiliates of Hess Corporation and Global Infrastructure Partners, Hess Midstream’s sponsors. The terms of the proposed unit repurchase transaction were unanimously approved by the board of directors of Hess Midstream’s general partner, based on the unanimous approval and recommendation of its conflicts committee composed solely of independent directors. Pursuant to the terms of the repurchase agreement, the repurchased units will be cancelled upon the closing of the unit repurchase transaction, which is expected to result in increased distributable cash flow per Class A share providing capacity for incremental distribution growth above Hess Midstream’s annual distribution target of at least 5% through 2026, consistent with Hess Midstream’s return of capital framework.