EnLink Midstream to buy natural gas company Coronado for about $600 million

MarketsAssociated Press

Oil and gas companies EnLink Midstream and EnLink Midstream Partners LP said Monday that they have agreed to buy Coronado Midstream Holdings LLC for about $600 million.

Coronado owns natural gas gathering and processing plants in Texas. As part of the deal, Coronado owners will receive $240 million in cash and $360 million in units of EnLink Midstream Partners.

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The acquisition will expand EnLink's oil and gas transport business in West Texas, said EnLink CEO Barry Davis, in a statement.

Shares of EnLink Midstream LLC, based in Dallas, rose $1.74, or 5.5 percent, to $33.38 in midday trading Monday. Shares of EnLink Midstream Partners rose 86 cents, or 3 percent, to $29.54.