(Reuters) -Martin Midstream Partners said on Thursday it will terminate the previously agreed-upon $157 million merger deal with Martin Resource Management Corp (MRMC).
Martin Midstream (NASDAQ:), which focuses on storing and transporting fuels, in October agreed to be taken over by its largest shareholder, MRMC.
Under the deal, MRMC was to pay $4.02 per unit in cash for the common units it does not already own, after initially offering in May to acquire Martin Midstream for $3.05 per unit.
Two hedge funds, Nut Tree Capital Management and Caspian Capital, in July had made a competing bid, and had said they planned to try and rally shareholders to vote against the deal with MRMC.
They argued the MRMC offer undervalued Martin Midstream, and they also raised concerns about conflicts of interest in the acceptance process of the MRMC offer.
The unitholder meeting on whether to sanction the MRMC buyout, scheduled for Dec. 30, is now cancelled.
