Alon Energy Files For Marketing Division IPO of Up to $230M
DALLAS -- Alon USA Energy Inc. filed a S-1 registration form with the U.S. Securities and Exchange Commission (SEC) to bring its Alon USA Partners LP division to the New York Stock Exchange via an initial public offering (IPO).
Alon USA Partners will handle the former parent company's refining and petroleum marketing businesses in the South Central and Southwestern regions of the United States. However, Alon Energy's retail convenience store division will not be part of the planned IPO and will hence remain under the parent company, Amir Barash, Alon Energy's vice president of investor relations, confirmed in an e-mail to CSNews Online.
If approved by the SEC, Alon Energy hopes to raise as much as $230 million, which the company intends to use to reduce debt, it stated in its SEC filing. Alon USA Partners operates a crude oil refinery in Big Spring, Texas. If approved, the new company would trade under the stock market symbol ALDW.
Goldman Sachs & Co., Credit Suisse Securities LLC and Citigroup Global Markets Inc. are the underwriters for the IPO.
The number of Alon USA Partners shares and price per share will be determined at a later date, following SEC approval.
Alon Energy Inc. is the largest 7-Eleven licensee in the United States and operates approximately 300 c-stores in the Texas and New Mexico.