HOUSTON, April 28, 2016 (GLOBE NEWSWIRE) -- Memorial Resource Development Corp. (Nasdaq:MRD) today announced that it has entered into an agreement to sell Memorial Production Partners GP LLC (“MEMP GP”), the general partner of MEMP, for $0.75 million in cash to Memorial Production Partners LP (Nasdaq:MEMP). MEMP GP is the general partner of MEMP and holds the general partner interest and 50% of the incentive distribution rights (“IDRs”) of MEMP. MRD expects to close the transaction by the end of the second quarter of 2016, subject to customary closing conditions. Following completion of the transaction, MRD will own no interest in MEMP’s outstanding common units, IDRs or general partner interest.
Jay C. Graham, Chief Executive Officer of MRD, stated: “I believe this is a very positive transaction for both MRD and MEMP. The transaction better positions both companies as independent and separated entities in today’s lower commodity price environment and furthers both companies’ goals of increasing shareholder and unitholder value.”
The Conflicts Committee of the Board of Directors of MRD ("MRD Conflicts Committee"), the Board of Directors of Memorial Production Partners GP LLC (“MEMP Board”) and the Conflicts Committee of the MEMP Board ("MEMP Conflicts Committee") have unanimously approved the transaction. Piper Jaffray acted as financial advisor to the MRD Conflicts Committee. Morris, Nichols, Arsht & Tunnell LLP acted as legal advisor to the MRD Conflicts Committee.
About Memorial Resource Development Corp.
Memorial Resource Development Corp. is an independent natural gas and oil company engaged in the acquisition, exploration and development of natural gas and oil properties in North Louisiana. For more information, please visit our website at www.memorialrd.com.