Energy Business

Teekay LNG Partners Slides on Offering (TGP, TK)

Teekay LNG Partners (NYSE: TGP) priced its follow-on offering of 5million common shares at $28.75 each. The $143 million offering will be used torepay outstanding balances on a revolving credit facility that funded vesselacquisitions.

The marine transportation company for the energy industry saidthat Teekay Corporation (NYSE: TK), the prior parent company, agreed to buy 1.7 million commonshares at these terms. Underwriters for the transaction are listed as Citi, Wachovia UBSInvestment Bank, Raymond James & Associates, Inc., Deutsche BankSecurities and Dahlman Rose & Company. They are granted a 30-day option to purchase up to 750,000 for over-allotments.

The transaction isexpected to close April 23. Shares of Teekay LNG are down less than 1% inmid-day trading to $28.52. The 52-week range is $27.08 to $40.26.

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Rachel Lopez
April 18, 2008