DALLAS--(BUSINESS WIRE)--April 9, 2008--Crosstex Energy, L.P.
(NASDAQ: XTEX) (the Partnership) announced today that it has agreed to
sell approximately 3.3 million common units to a group of entities
affiliated with Kayne Anderson Capital Advisors, L.P. and Swank Energy
Income Advisors, LP. Net proceeds from the issuance, including the
general partner's proportionate capital contribution and expenses
associated with the issuance, will be approximately $102 million.
After completion of the offering, the Partnership will have
approximately 44.7 million common units outstanding. Closing is
scheduled for Wednesday, April 9, 2008.
The price for the common units, which will be issued under the
Partnership's existing shelf registration statement, was $30.00 per
unit, which represents an approximate seven percent discount to the
closing price of the common units on April 7, 2008.
"This transaction will enable us to continue our organic growth
strategy," said Barry E. Davis, Crosstex President and Chief Executive
Officer. "This equity issuance will be used to pay down our bank
revolver, which will create additional financial flexibility."
Crosstex Energy, L.P., a midstream natural gas company
headquartered in Dallas, operates over 5,000 miles of pipeline, 12
processing plants, four fractionators and approximately 190 natural
gas amine-treating plants and dew-point control plants. Crosstex
currently provides services for over 3.5 billion cubic feet per day of
natural gas, or approximately seven percent of marketed U.S. daily
After giving effect to this offering, Crosstex Energy, Inc.
(NASDAQ:XTXI) (the Corporation) owns the two percent general partner
interest, a 36 percent limited partner interest, and the incentive
distribution rights of Crosstex Energy, L.P.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy the securities described herein, nor
shall there be any sale of these securities in any state or
jurisdiction in which such an offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities
laws of any such jurisdiction. The offering may be made only by means
of a prospectus and related prospectus supplement.
This press release contains "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
All statements other than statements of historical facts included
herein constitute forward-looking statements. Although the companies
believe that the expectations reflected in the forward-looking
statements are reasonable, they can give no assurance that such
expectations will prove to be correct. The expectations are subject to
the "Risk Factors" described in the companies' filings with the
Securities and Exchange Commission, which could cause actual results
to differ materially from those in the forward looking statements.
These filings are available on the companies' Web site or upon
CONTACT: Crosstex Energy, L.P.
Crystal C. Bell, 214-721-9407
Investor Relations Specialist
Jill McMillan, 214-721-9271
Manager, Public & Industry Affairs
SOURCE: Crosstex Energy, L.P.