8-K

XPLR Infrastructure, LP (XIFR)

8-K 2025-09-24 For: 2025-09-22
View Original
Added on April 04, 2026

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of earliest event reported:  September 22, 2025

Commission<br><br>File<br><br>Number Exact name of registrant as specified in its<br>charter, address of principal executive offices and<br>registrant's telephone number IRS Employer<br><br>Identification<br><br>Number
1-36518 XPLR INFRASTRUCTURE, LP 30-0818558

700 Universe Boulevard

Juno Beach, Florida 33408

(561) 694-4000

State or other jurisdiction of incorporation or organization:  Delaware

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol Name of exchange<br>on which registered
Common Units XIFR New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

SECTION 2 – FINANCIAL INFORMATION

Item 2.01 Completion of Acquisition or Disposition of Assets

On September 22, 2025, Meade Pipeline Investment, LLC, Redwood Midstream, LLC and River Road Interests LLC (the sellers), all indirect subsidiaries of XPLR Infrastructure, LP (XPLR), completed the sale of the sellers' interests in Meade Pipeline Co, LLC (Meade), which owned an investment in natural gas pipeline assets in Pennsylvania, and Redwood Meade Midstream MPC, LLC, which owned a 15% interest in Meade, to APC Holdings II, L.P. and ACI Meade Member, LLC, affiliates of funds managed or advised by Ares Management LLC or one of its affiliates under the previously disclosed purchase and sale agreement dated August 7, 2025. XPLR received total cash consideration of approximately $1.1 billion.

SECTION 9 – FINANCIAL STATEMENTS AND EXHIBITS

Item 9.01. Financial Statements and Exhibits.

(b)    Pro Forma Financial Information.

Unaudited pro forma consolidated statements of income and balance sheet (pro forma financial statements) of XPLR to illustrate the effect of the sale of the Meade pipeline investment for the years ended December 31, 2024, 2023 and 2022, and as of and for the six months ended June 30, 2025 are filed as Exhibit 99.1 to this Current Report on Form 8-K and are incorporated herein by reference.

(d)    Exhibits.

Exhibit<br>Number Description
99.1 Unaudited pro forma consolidated financial statements of XPLR for the years ended December 31, 2024, 2023 and 2022 and as of and for the six months ended June 30, 2025
101 Interactive data files for this Form 8-K formatted in Inline XBRL
104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: September 24, 2025

XPLR INFRASTRUCTURE, LP
(Registrant)
WILLIAM J. GOUGH
William J. Gough
Controller
(Principal Accounting Officer)

Document

Exhibit 99.1

Introduction

The unaudited pro forma consolidated statements of income and balance sheet (pro forma financial statements) are derived from the historical consolidated financial statements of XPLR Infrastructure, LP (XPLR) and XPLR Infrastructure Pipeline Holdings, LLC, an indirect subsidiary of XPLR that indirectly owned an investment in natural gas pipeline assets in Pennsylvania (Meade pipeline investment), to illustrate the effect of the September 22, 2025 sale of the Meade pipeline investment. The pro forma financial statements are based on, and should be read in conjunction with, the consolidated financial statements of XPLR included in XPLR's Annual Report on Form 10-K for the year ended December 31, 2024 filed with the Securities and Exchange Commission (SEC). The pro forma financial statements are also based on, and should be read in conjunction with, the consolidated financial statements of XPLR included in XPLR's Quarterly Report on Form 10-Q for the six months ended June 30, 2025 filed with the SEC.

The historical consolidated financial statements have been adjusted in the pro forma financial statements to give effect to transaction accounting adjustments that reflect the disposal of the Meade pipeline investment and exclude historical discontinued operations in 2023 and 2022. The pro forma financial statements have been derived by the application of transaction accounting adjustments to the historical consolidated financial statements of XPLR. The unaudited pro forma consolidated statements of income for the years ended December 31, 2024, 2023 and 2022 and for the six months ended June 30, 2025 give effect to the sale of the Meade pipeline investment, which will be accounted for as discontinued operations, as if it had occurred on January 1, 2022. Since the unaudited pro forma consolidated statements of income only include continuing operations, the estimated gain on sale is not included in any period presented. The unaudited pro forma consolidated balance sheet as of June 30, 2025 gives effect to the sale of the Meade pipeline investment as if it had occurred on June 30, 2025.

The sale of the Meade pipeline investment is subject to closing adjustments that have not yet been finalized. Accordingly, the transaction accounting adjustments are preliminary, and have been made solely for the purpose of providing pro forma financial statements as required by the SEC rules. Differences between these preliminary estimates and the final sale accounting may be material. The pro forma financial statements have been presented for informational purposes only and are not necessarily indicative of what the results of operations and financial position would have been had the sale of the Meade pipeline investment been completed on the dates indicated, nor are they necessarily indicative of future results of operations or financial position.

XPLR INFRASTRUCTURE, LP

UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF INCOME

(millions, except per unit amounts)

Six months ended June 30, 2025
XPLR Historical Transaction Accounting Adjustments XPLR Pro Forma
OPERATING REVENUES $ 624 $ $ 624
OPERATING EXPENSES
Operations and maintenance 212 212
Depreciation and amortization 277 277
Goodwill impairment charge 253 253
Taxes other than income taxes and other – net 37 37
Total operating expenses – net 779 779
GAINS ON DISPOSAL OF BUSINESSES/ASSETS – NET 12 12
OPERATING LOSS (143) (143)
OTHER INCOME (DEDUCTIONS)
Interest expense (290) 40 (a) (250)
Equity in earnings of equity method investees 48 (a) 48
Equity in losses of non-economic ownership interests (3) (3)
Other – net 10 10
Total other income (deductions) – net (235) 40 (195)
LOSS BEFORE INCOME TAXES (378) 40 (338)
INCOME TAXES (86) 6 (b) (80)
NET LOSS (292) 34 (258)
NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS 273 (16) (c) 257
NET LOSS ATTRIBUTABLE TO XPLR $ (19) $ 18 $ (1)
Loss per common unit attributable to XPLR – basic $ (0.20) $ 0.19 $ (0.01)
Loss per common unit attributable to XPLR – assuming dilution $ (0.20) $ 0.19 $ (0.01)
Weighted-average number of common units outstanding – basic 93.8 93.8
Weighted-average number of common units outstanding – assuming dilution 93.8 93.8

XPLR INFRASTRUCTURE, LP

UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF INCOME

(millions, except per unit amounts)

Year ended December 31, 2024
XPLR Historical Transaction Accounting Adjustments XPLR Pro Forma
OPERATING REVENUES $ 1,230 $ $ 1,230
OPERATING EXPENSES
Operations and maintenance 504 504
Depreciation and amortization 550 550
Goodwill impairment charge 575 575
Taxes other than income taxes and other – net 73 73
Total operating expenses – net 1,702 1,702
GAINS ON DISPOSAL OF BUSINESSES/ASSETS – NET 13 13
OPERATING LOSS (459) (459)
OTHER INCOME (DEDUCTIONS)
Interest expense (170) 25 (a) (145)
Equity in earnings of equity method investees 107 (22) (a) 85
Equity in earnings of non-economic ownership interests 18 18
Other – net 47 47
Total other income (deductions) – net 2 3 5
LOSS BEFORE INCOME TAXES (457) 3 (454)
INCOME TAXES (46) 4 (b) (42)
NET LOSS (411) (1) (412)
NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS 388 12 (c) 400
NET LOSS ATTRIBUTABLE TO XPLR $ (23) $ 11 $ (12)
Loss per common unit attributable to XPLR – basic $ (0.25) $ 0.12 $ (0.13)
Loss per common unit attributable to XPLR – assuming dilution $ (0.25) $ 0.12 $ (0.13)
Weighted-average number of common units outstanding – basic 93.5 93.5
Weighted-average number of common units outstanding – assuming dilution 93.5 93.5

XPLR INFRASTRUCTURE, LP

UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF INCOME

(millions, except per unit amounts)

Year ended December 31, 2023
XPLR Historical Transaction Accounting Adjustments XPLR Pro Forma
OPERATING REVENUES $ 1,078 $ $ 1,078
OPERATING EXPENSES
Operations and maintenance 520 520
Depreciation and amortization 521 521
Goodwill impairment charge
Taxes other than income taxes and other – net 65 65
Total operating expenses – net 1,106 1,106
GAINS ON DISPOSAL OF BUSINESSES/ASSETS – NET
OPERATING LOSS (28) (28)
OTHER INCOME (DEDUCTIONS)
Interest expense (394) 49 (a) (345)
Equity in earnings of equity method investees 152 (71) (a) 81
Equity in earnings of non-economic ownership interests 4 4
Other – net 9 9
Total other income (deductions) – net (229) (22) (251)
LOSS BEFORE INCOME TAXES (257) (22) (279)
INCOME TAXES (25) (b) (25)
NET LOSS FROM CONTINUING OPERATIONS (232) (22) (254)
NET LOSS FROM CONTINUING OPERATIONS ATTRIBUTABLE TO NONCONTROLLING INTERESTS 263 23 (c) 286
NET INCOME FROM CONTINUING OPERATIONS ATTRIBUTABLE TO XPLR $ 31 $ 1 $ 32
Earnings from continuing operations per common unit attributable to XPLR – basic $ 0.34 $ 0.01 $ 0.35
Earnings from continuing operations per common unit attributable to XPLR – assuming dilution $ 0.34 $ 0.01 $ 0.35
Weighted-average number of common units outstanding – basic 91.6 91.6
Weighted-average number of common units outstanding – assuming dilution 91.6 91.6

XPLR INFRASTRUCTURE, LP

UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF INCOME

(millions, except per unit amounts)

Year ended December 31, 2022
XPLR Historical Transaction Accounting Adjustments XPLR Pro Forma
OPERATING REVENUES $ 969 $ $ 969
OPERATING EXPENSES
Operations and maintenance 527 527
Depreciation and amortization 394 394
Goodwill impairment charge
Taxes other than income taxes and other – net 40 40
Total operating expenses – net 961 961
GAINS ON DISPOSAL OF BUSINESSES/ASSETS – NET 36 36
OPERATING INCOME 44 44
OTHER INCOME (DEDUCTIONS)
Interest expense 848 (96) (a) 752
Equity in earnings of equity method investees 177 (73) (a) 104
Equity in earnings of non-economic ownership interests 56 56
Other – net 5 5
Total other income (deductions) – net 1,086 (169) 917
INCOME BEFORE INCOME TAXES 1,130 (169) 961
INCOME TAXES 161 (16) (b) 145
NET INCOME FROM CONTINUING OPERATIONS 969 (153) 816
NET INCOME FROM CONTINUING OPERATIONS ATTRIBUTABLE TO NONCONTROLLING INTERESTS (524) 103 (c) (421)
NET INCOME FROM CONTINUING OPERATIONS ATTRIBUTABLE TO XPLR $ 445 $ (50) $ 395
Earnings from continuing operations per common unit attributable to XPLR – basic $ 5.24 $ (0.59) $ 4.65
Earnings from continuing operations per common unit attributable to XPLR – assuming dilution $ 5.24 $ (0.59) $ 4.65
Weighted-average number of common units outstanding – basic 84.9 84.9
Weighted-average number of common units outstanding – assuming dilution 84.9 84.9

XPLR INFRASTRUCTURE, LP

UNAUDITED PRO FORMA CONSOLIDATED BALANCE SHEET

(millions)

As of June 30, 2025
XPLR Historical Transaction Accounting Adjustments XPLR Pro Forma
ASSETS
Current assets:
Cash and cash equivalents $ 880 $ 152 (d) $ 1,032
Accounts receivable 148 148
Other receivables 90 90
Due from related parties 93 93
Inventory 100 100
Other 145 (19) (e) 126
Total current assets 1,456 133 1,589
Other assets:
Property, plant and equipment – net 14,871 14,871
Intangible assets – PPAs – net 1,733 1,733
Goodwill
Investments in equity method investees 1,753 (1,108) (f) 645
Other 683 (50) (e) 633
Total other assets 19,040 (1,158) 17,882
TOTAL ASSETS $ 20,496 $ (1,025) $ 19,471
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued expenses $ 60 $ $ 60
Due to related parties 598 598
Current portion of long-term debt 1,026 (16) (e) 1,010
Accrued interest 88 88
Accrued property taxes 30 30
Other 93 93
Total current liabilities 1,895 (16) 1,879
Other liabilities and deferred credits:
Long-term debt 5,608 (806) (e) 4,802
Asset retirement obligations 375 375
Due to related parties 44 44
Intangible liabilities – PPAs – net 1,077 1,077
Other 226 226
Total other liabilities and deferred credits 7,330 (806) 6,524
TOTAL LIABILITIES 9,225 (822) 8,403
COMMITMENTS AND CONTINGENCIES
EQUITY
Common units (94.0 units issued and outstanding) 3,200 6 (g) 3,206
Accumulated other comprehensive loss (6) (6)
Noncontrolling interests 8,077 (209) (h) 7,868
TOTAL EQUITY 11,271 (203) 11,068
TOTAL LIABILITIES AND EQUITY $ 20,496 $ (1,025) $ 19,471

Notes to Pro Forma Financial Statements

Transaction Accounting Adjustments and Assumptions

The adjustments are based on currently available information and certain estimates and assumptions, and therefore the actual effects of these transactions will differ from the transaction accounting adjustments. A general description of these transactions and adjustments is provided as follows:

(a) Reflects the removal of interest expense associated with project-related debt and interest rate swaps and equity in earnings of equity method investees associated with the activities of the Meade pipeline investment. In 2025, equity in earnings relating to the Meade pipeline investment were not recognized as the investment was impaired in December 2024.

(b) Reflects the removal of income taxes associated with the Meade pipeline investment, project-related debt and noncontrolling membership interests in XPLR Infrastructure Pipelines, LLC (XPLR Pipelines) at the blended statutory rate.

(c) Reflects adjustments to net income (loss) attributable to noncontrolling interests based on the allocation of the transaction accounting adjustments.

(d) Reflects estimated net cash consideration from the sale of the Meade pipeline investment including approximately $1,113 million of cash consideration (comprised of $1,078 million expected base sales price at September 30, 2025 closing plus $35 million of expected third quarter 2025 monthly distributions to arrive at an estimated base sales price assuming a June 30, 2025 close) less $822 million to pay off project-related debt and $208 million relating to the final buyout of the remaining membership interests in XPLR Pipelines, partly offset by $69 million relating to the settlement of interest rate swaps on the project-related debt based on balances as of June 30, 2025.

(e) Reflects the payoff of outstanding borrowings at June 30, 2025 under three senior secured limited-recourse term loans and settlement of associated interest rate swaps.

(f) Reflects the removal of equity method investment associated with the Meade pipeline investment.

(g) Reflects XPLR's portion of the estimated after-tax gain that would have been recorded if the sale of the Meade pipeline investment closed on June 30, 2025.

(h) Reflects the noncontrolling interests of XPLR Pipelines of approximately $216 million which XPLR will buy out with the proceeds of the sale (cash buyout price is $208 million), partly offset by a noncontrolling interest's portion of the gain that would have been recorded if the sale of the Meade pipeline investment closed on June 30, 2025 of $7 million.

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