Leading Proxy Advisory Firms Endorse ONEOK's Acquisition of EnLink Unitholders

Proxy Advisory Firms Recommend EnLink Unitholders Vote "FOR"

In a significant development for the energy sector, two of the most respected independent proxy advisory firms, Institutional Shareholder Services Inc. (ISS) and Glass Lewis & Co., have placed their endorsement behind the forthcoming acquisition of EnLink Midstream, LLC (NYSE: ENLC) by ONEOK, Inc. (NYSE: OKE). This merger is poised to reshape the landscape of midstream energy services in North America.

Scheduled for January 30, 2025, the Special Meeting of EnLink unitholders will be pivotal as the vote will determine whether ONEOK successfully acquires the remaining publicly held common units of EnLink. The meeting, which will be held virtually at 10 a.m. Central Time (11 a.m. Eastern Time), has already generated considerable interest from stakeholders in both companies.

The endorsement by ISS and Glass Lewis carries significant weight. These firms are known for their thorough analysis of mergers and acquisitions within publicly traded companies. Their recommendations often influence the decisions of shareholders and institutional investors. Both firms have urged EnLink's unitholders to vote in favor of the acquisition, highlighting the strategic advantages and anticipated synergies that would emerge from the integration of the two companies.

The EnLink Board of Directors, alongside its Conflicts Committee, has unanimously backed the acquisition, emphasizing the positive outcomes they foresee from the merger. The board has urged unitholders to support all proposals outlined in the definitive proxy statement linked to the Special Meeting.

This acquisition is contingent upon the approval from a majority of outstanding EnLink common units, which includes units held by ONEOK itself. It's noteworthy that there is no requirement for a shareholder vote from ONEOK to finalize the transaction, allowing for a streamlined approval process. If all other customary closing conditions are met, the transaction is expected to close shortly after the Special Meeting.

EnLink unitholders looking for guidance on the voting process or having inquiries regarding the Special Meeting can reach out to EnLink's proxy solicitor, Innisfree MA Incorporated. They can either call the toll-free number 866-239-1762 from the U.S. and Canada or +1-412-232-3651 from other countries.

The Future of ONEOK and EnLink

This acquisition marks a pivotal moment for both companies, as they seek to combine their strengths in a rapidly evolving energy marketplace. ONEOK is renowned for its expansive infrastructure and expertise in the natural gas sector, functioning as a leading midstream operator. The Oklahoma-based company provides a suite of services across its more than 50,000-mile pipeline network, which is vital for transporting key energy products across the United States and beyond.

In tandem, EnLink Midstream has established itself as a formidable player in the sector, offering integrated midstream infrastructure services not only for natural gas but also for crude oil, natural gas liquids (NGLs), and CO2 transportation related to carbon capture and sequestration. With a focus on premier production basins such as the Permian Basin and Louisiana, EnLink is strategically positioned within key demand centers that are crucial for energy supply.

By combining their operational platforms, ONEOK and EnLink anticipate creating enhanced shareholder value and operational efficiencies that can thrive in a competitive market. While the road ahead will undoubtedly bring challenges, both firms are optimistic that this union will foster sustainable growth and innovation in the energy landscape.

Conclusion

The support from ISS and Glass Lewis signals strong confidence from industry experts in the proposed acquisition. As the Special Meeting approaches, all eyes will be on EnLink unitholders and how they respond to the recommendations of these advisory firms. The outcome of this vote not only impacts shareholders but also shapes the future of midstream energy operations across North America.