The company also schedules webcast and call to
discuss quarterly and year-end earnings and 2024 guidance
DALLAS, Jan. 16,
2024 /PRNewswire/ -- EnLink Midstream, LLC (NYSE:
ENLC) (EnLink) announced today that the EnLink Board of Directors
(Board) completed its expanded 2023 common unit repurchase
authorization of $250 million,
authorized a 2024 common unit repurchase plan, increased its
quarterly distribution for the fourth quarter of 2023 by
approximately 6%, and updated EnLink's financial policy to reflect
a long-term leverage target of 3.5x debt-to-EBITDA.
EnLink also announced it will host a webcast and conference call
on Wednesday, February 21, at
8 a.m. Central time to discuss its
fourth quarter and full-year 2023 earnings, along with 2024
financial guidance.
Increased 2023 Common Unit Repurchase Execution
In
November, the Board increased the 2023 common unit repurchase
authorization by $50 million to
$250 million. The increase reflected
the generation of strong free cash flow after distributions, as
well as the use of a portion of the proceeds of the sale of
EnLink's Ohio River Valley (ORV) assets. A portion of the ORV
proceeds was also used to reduce debt, resulting in a
leverage-neutral transaction. EnLink fully executed the expanded
2023 common unit repurchase program, including approximately
$42 million of common units
repurchased from Global Infrastructure Partners (GIP), pursuant to
our 2023 Unit Repurchase Agreement, which will settle on
February 19, 2024.
Authorized New 2024 Unit Repurchase Plan
The Board
authorized a new $200 million unit
repurchase plan for 2024. This marks the third consecutive year
that the Board has authorized a significant unit repurchase plan.
Following consistent repurchase execution since early 2022, EnLink
has repurchased approximately 42 million units, which represents
approximately 9% of total outstanding units at the end of 2021. GIP
will also participate in the 2024 unit repurchases through its
execution of a Unit Repurchase Agreement for 2024.
Increased Quarterly Distribution for Fourth Quarter of
2023
The Board declared a cash distribution of
$0.1325 per common unit for the
fourth quarter of 2023, which represents an increase of
approximately 6% from the third quarter 2023 distribution. The
fourth quarter 2023 cash distribution will be paid on February 9, 2024, to unitholders of record on
January 29, 2024.
Updated Financial Policy
EnLink lowered its long-term
leverage target to 3.5x debt-to-EBITDA. EnLink's previous target
was below 4.0x. The updated policy reflects progress made on
deleveraging and strengthening the balance sheet, EnLink's solid
financial and operational performance, and management's confidence
in the long-term outlook of the business. At the end of the third
quarter of 2023, EnLink's leverage stood at 3.4x.
Fourth Quarter, Full-Year 2023 Earnings and 2024 Financial
Guidance Webcast Details
EnLink will host a webcast and
conference call on Wednesday, February
21, at 8 a.m. Central time to
discuss fourth quarter and full-year 2023 earnings, along with 2024
financial guidance. The conference call will be broadcast via an
internet webcast, which can be accessed on the Investors page of
EnLink's website Investors.EnLink.com. Interested parties can
access an archived replay of the webcast on EnLink's website for at
least 90 days following the event.
EnLink's investor presentation and earnings press release will
be posted on the Investors page of EnLink's website at
Investors.EnLink.com after market close on Tuesday, February 20.
All dates and times are subject to change. Any timing updates,
along with participation instructions for the webcasts and
conference calls, will be provided via press release prior to the
event.
About EnLink Midstream
Headquartered in Dallas, EnLink Midstream (NYSE: ENLC) provides
integrated midstream infrastructure services for natural gas, crude
oil, and NGLs, as well as CO2 transportation for carbon
capture and sequestration (CCS). Our large-scale,
cash-flow-generating asset platforms are in premier production
basins and core demand centers, including the Permian Basin,
Louisiana, Oklahoma, and North
Texas. EnLink is focused on maintaining the financial
flexibility and operational excellence that enables us to
strategically grow and create sustainable value. Visit
www.enlink.com to learn how EnLink connects energy to life.
Forward-Looking Statements
This press
release contains forward-looking statements within the meaning of
the federal securities laws. Although these statements reflect the
current views, assumptions and expectations of our management, the
matters addressed herein involve certain assumptions, risks and
uncertainties that could cause actual activities, performance,
outcomes and results to differ materially from those indicated
herein. Therefore, you should not rely on any of these
forward-looking statements. All statements, other than statements
of historical fact, included in this press release constitute
forward-looking statements, including but not limited to statements
identified by the words "forecast," "may," "believe," "will,"
"should," "plan," "predict," "anticipate," "intend," "estimate,"
"expect," "continue," and similar expressions. Applicable
uncertainties, factors, and risks are described more fully in
EnLink Midstream, LLC's filings with the Securities and Exchange
Commission, including EnLink Midstream, LLC's Annual Reports on
Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on
Form 8-K. EnLink assumes no obligation to update any
forward-looking statements.
Investor Relations: Brian
Brungardt, Director of Investor Relations, 214-721-9353,
brian.brungardt@enlink.com
Media Relations: Megan
Wright, Director of Corporate Communications, 214-721-9694,
megan.wright@enlink.com
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SOURCE EnLink Midstream, LLC