May 11, 2005
Teekay LNG IPO raises $151.8 million
Teekay LNG Partners L.P. (NYSE:TGP) has completed its initial public offering of 6,900,000 of its common units at $22.00 per unit, including 900,000 units subject to the over-allotment option, which the underwriters exercised. Gross proceeds from the offering were $151.8 million. The common units trade on the New York Stock Exchange under the symbol "TGP."
Teekay LNG Partners L.P. is a Marshall Islands partnership recently formed by Teekay Shipping Corporation as part of its strategy to expand its operations in the LNG shipping sector.
Teekay LNG Partners provides LNG and crude oil marine transportation services under long-term, fixed-rate contracts with major energy and utility companies through its fleet of seven LNG carriers and five Suezmax class crude oil tankers. Three of the seven LNG carriers are newbuildings scheduled for delivery in late 2006 and early 2007, in which Teekay LNG Partners will hold at least a 70% interest.
The 6,900,000 common units represent a 22.3% ownership interest in the master limited partnership. Teekay Shipping Corporation owns the remaining interests in the partnership.