Energy Transfer Ordered to Pay Williams $410 Million for Abandoning Merger

Energy Transfer said it was "extremely disappointed" in the decision and is evaluating its legal options.

Jonathan Stempel, Reuters

A Delaware judge ordered oil pipeline operator Energy Transfer LP to pay rival Williams Cos $410 million for abandoning their $33 billion merger, one of the largest transactions to fall victim to sinking oil prices.

In a 95-page decision on Dec. 29, Vice Chancellor Sam Glasscock of Delaware Chancery Court said Energy Transfer owed the breakup fee for breaching the September 2015 merger agreement by issuing preferred securities five months later.

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