Rice Midstream Partners LP (RMP) Enters $450M Common Units Private Placement

September 30, 2016 8:01 AM EDT

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Rice Midstream Partners LP (NYSE: RMP) announced that it has priced a private placement of 20,930,233 common units representing limited partner interests for gross proceeds of approximately $450 million. The closing of the private placement is expected to occur on October 7, 2016, subject to certain customary closing conditions.

RMP intends to use a portion of the net proceeds from the private placement to fund a portion of the acquisition from Rice Energy Inc. ("Rice Energy") of the midstream assets associated with Rice Energy's previously announced acquisition of Vantage Energy, LLC and Vantage Energy II, LLC (the "Acquisition"). The remaining net proceeds will be used for general partnership purposes, including potential future drop down acquisitions from Rice Energy. The private placement is not conditioned on the consummation of the Acquisition, and there can be no assurance the Acquisition will be completed.

The securities offered in the private placement have not been registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities described herein.

Barclays and Wells Fargo Securities acted as placement agents for the transaction.

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