UNITED STATES ~~SECURITIES AND EXCHANGE COMMISSION~~

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT ~~PURSUANT TO SECTION 13 OR 15(d)~~

Pursuant OFto ~~THE~~Section 13 ~~SECURITIES~~OR ~~EXCHANGE~~15(d) ~~ACT OF 1934~~

~~Date~~ of ~~Report~~The ~~(Date~~Securities ofExchange ~~earliest~~Act ~~event~~of ~~reported):~~1934 ~~August 14, 2019~~

Date of Report (Date of earliest event reported) August 30, 2019

Southcross Energy Partners, L.P.

(Exact name of registrant as specified in its charter)

Delaware	001-35719	45-5045230
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation or organization)	File Number)	Identification No.)
of incorporation)	File Number)	Identification No.)

1717 Main Street Suite 5200 Dallas, Texas 75201 (Address of principal executive offices) (Zip Code)

~~Suite~~Registrant’s telephone number, including area code (214) ~~5200~~979-3700

~~Dallas~~(Former name or former address, ~~Texas~~if ~~75201~~changed since last report.)

~~(Address~~Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the ~~principal~~registrant ~~executive~~under ~~office)~~any of the following provisions (~~Zip~~see ~~Code~~General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (~~214~~17 CFR 230.425) ~~979-3700~~

~~(Registrants’~~☐ ~~telephone~~Soliciting ~~number,~~material ~~including~~pursuant ~~area~~to ~~code~~Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

~~Check~~☐ ~~the appropriate box below if the Form 8~~Pre-Kcommencement ~~filing~~communications ispursuant ~~intended~~ to ~~simultaneously~~Rule ~~satisfy~~14d-2(b) ~~the~~under ~~filing obligation of~~ the ~~registrant~~Exchange ~~under~~Act ~~any~~(17 ofCFR ~~the following provisions:~~240.14d-2(b))

o☐ ~~Written~~Pre-commencement communications pursuant to Rule ~~425~~ 13e-4(c) under the ~~Securities~~Exchange Act (17 CFR ~~230~~240.~~425~~13e-4(c))

oSecurities ~~Soliciting~~registered ~~material~~ pursuant to ~~Rule~~Section ~~14a-~~12(b) ~~under~~of the ~~Exchange~~ Act: ~~(17 CFR 240.14a-12)~~

oTitle ~~Pre-commencement~~of ~~communications~~each ~~pursuant~~class toTrading ~~Rule 14d-2~~Symbol(bs) ~~under~~ ~~the~~Name ~~Exchange~~of ~~Act~~each ~~(17~~exchange ~~CFR~~on ~~240.14d-2(b))~~which registered

oIndicate ~~Pre-commencement~~by ~~communications~~check ~~pursuant~~mark towhether the registrant is an emerging growth company as defined in Rule ~~13e-4~~ 405 of the Securities Act of 1933 (c§230.405 of this chapter) ~~under~~ or Rule 12b-2 of the Securities Exchange Act ~~(17~~of ~~CFR~~1934 (§240.~~13e~~12b-~~4(c~~2 of this chapter)).

Emerging ~~Growth Company o 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. o

~~Item~~If ~~5.02.~~an ~~Departure~~emerging growth ofcompany, ~~Directors~~indicate orby ~~Certain~~check ~~Officers;~~mark ~~Election~~if ofthe ~~Directors;~~registrant ~~Appointment~~has ofelected ~~Certain~~not ~~Officers;~~to ~~Compensatory~~use ~~Arrangements~~the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of ~~Certain~~the ~~Officers~~Exchange Act. ☐

~~Resignation~~Item of1.01. ~~Director~~Entry into a Material Definitive Agreement.

ByAsset ~~letters~~Purchase ~~dated~~Agreement August 14, 2019 (each, a “Letter”), Randall S. Wade and Jason H. Downie each provided notice to Southcross Energy Partners GP, LLC’s board of directors (the “Partnership GP Board”) of their respective decisions to resign from the Partnership GP Board effective as of the date of each Letter. Mr. Wade was not a member of any committees of the Partnership GP Board and is the Chief Operating Officer of EIG Global Energy Partners, LLC, which indirectly owns approximately one-third of Southcross Holdings LP (“Holdings”). Mr. Downie was a member of the Compensation Committee of the Partnership GP Board and is the Co-Founder and Managing Partner of Tailwater Capital LLC, which also indirectly owns approximately one-third of Holdings. The Letters informed the Partnership GP Board that Mr. Wade’s and Mr. Downie’s decisions to resign were made in light of Southcross Energy Partners, L.P.’s pending litigations against Southcross Holdings Borrower, L.P., an affiliate of Holdings.

~~Copies~~On August 30, 2019, Southcross Energy Partners, L.P., a Delaware limited partnership (“Southcross” or the “Partnership”), Southcross Energy Partners GP, LLC, a Delaware limited liability company and the general partner of the ~~Letters~~Partnership (“Southcross ~~are~~GP” ~~attached~~and ~~hereto~~collectively aswith ~~Exhibit~~the ~~17.1~~Partnership and ~~Exhibit~~certain 17of the Partnership’s subsidiaries, the “Sellers” or the “Debtors”) entered into an Asset Purchase Agreement (the “APA”) with Kinder Morgan Tejas Pipeline LLC, a Delaware limited liability company and subsidiary of Kinder Morgan, Inc.2 (the “Buyer”), ~~respectively~~pursuant to which, subject to the conditions described below, Buyer agrees to purchase certain assets (the “Asset Sale”). Prior to execution of the APA, on August 30, 2019, the Debtors received authorization from the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”) in the Debtors’ Chapter 11 cases (In re Southcross Energy Partners, L.P., et al, Case No. 19-10702 MFW (jointly administered) (the “Chapter 11 Cases”)), pursuant to a court order entered as Docket No. 455 in the Chapter 11 Cases (“Docket 455”), to enter into the APA and ~~are~~the ~~incorporated~~Asset ~~herein~~Sale bywith ~~reference~~Buyer.

~~Item~~The ~~9.01 Financial~~following ~~Statements~~description ~~and~~is ~~Exhibits~~a summary of the material terms of the APA.

~~(d)~~• ~~Exhibits~~Purchase Price. At the closing, Buyer will pay the Sellers US$76 million in cash, minus a portion of any periodic non-income taxes prepaid by the Sellers, plus reimbursement of up to US$100,000 to the extent Sellers are required to make cure payments to non-debtor parties to assigned contracts.

Exhibit No.			Description
17.1			Resignation Letter of Randall S. Wade from the Board of Directors of Southcross Energy Partners GP, LLC dated as of August 14, 2019.
17.2			Resignation Letter of Jason H. Downie from the Board of Directors of Southcross Energy Partners GP, LLC dated as of August 14, 2019.

•

Asset Sale. Buyer will acquire certain pipelines and systems constituting the Sellers’ Corpus Christi Pipeline and Bay City Lateral networks, plus certain related tangible personal property, inventory, owned and leased real property, assigned contracts, permits, claims and other assets as set forth in the APA (the “Assets”).

~~SIGNATURES~~• Assumed Liabilities. Buyer will assume post-Closing liabilities relating to the Assets and the Sellers will retain pre-Closing liabilities relating thereto, subject to certain exceptions as set forth in the APA.

~~Pursuant~~Docket to455 ~~the~~and ~~requirements~~other ofdocuments ~~the~~related ~~Securities~~to ~~Exchange~~the ~~Act~~Chapter of11 ~~1934,~~Cases ~~the~~are ~~registrant~~available ~~has~~on ~~duly~~a ~~caused~~separate ~~this~~website ~~report~~administered toby bethe ~~signed~~Debtors’ onclaims ~~its~~and ~~behalf~~noticing agent, byKurtzman ~~the~~Carson ~~undersigned~~Consultants, ~~thereunto~~LLC, ~~duly~~at ~~authorized~~http://www.kccllc.net/southcrossenergy.

		Southcross Energy Partners, L.P.
	By:	Southcross Energy Partners GP, LLC, its general partner
Dated: August 19, 2019	By:	/s/ Kelly J. Jameson
		Name: Kelly J. Jameson
		Title: Senior Vice President, General Counsel and Secretary

Pursuant to Docket 455, the Bankruptcy Court authorized the Buyer to serve as the “stalking horse” bidder for the Assets in an auction of the Assets under Section 363 of the Bankruptcy Code (the “Auction”). As such, Buyer’s offer to purchase the Assets, as set forth in the APA, would be the standard against which any other bids to purchase any or all of the Assets would be evaluated.

The consummation of the Asset Sale is subject to Buyer being selected as the winning bidder at the Auction, the performance in all material respects of each party’s obligations under the APA, the Bankruptcy Court’s authorization and approval of the Asset Sale and certain customary conditions precedent as specified in the APA. The APA provides for (i) reimbursement of certain expenses incurred by Buyer up to a US$250,000 cap and (ii) a break-up fee in the amount of US $2,280,000, both of which are payable to Buyer in the circumstances specified in the APA.

The APA contains customary representations, warranties and covenants of the parties thereto and many of the representations made by Sellers are subject to and qualified by a material adverse effect standard. Sellers have also made various customary covenants in the APA, including, among others, an agreement to operate the Assets in a manner consistent with past practices in all material respects between the execution of the APA and the closing date of the APA (the “Closing”). None of the representations, warranties or pre-Closing covenants contained in the APA survive the Closing nor does the APA provide for indemnification for any such breach or any other matter.

The APA may be terminated under customary circumstances, including by either party as of December 31, 2019, if the Closing has not occurred as of such time. The APA may additionally be terminated by the Sellers in order to pursue a superior proposal under certain conditions or if the board of directors of Southcross GP determines that failing to terminate the APA would be a breach of its fiduciary duties. Sellers are entitled to retain the US$7.9 million good faith deposit previously made by Buyer if Sellers terminate the APA due to Buyer’s breach or failure to close when required.

Pursuant to the APA, at the Closing certain affiliates of the Sellers and Buyer will enter into commercial agreements relating to the supply of natural gas, shared usage of certain pipeline assets and the installation of certain equipment. In addition, the parties will enter into a transition services agreement pursuant to which the Sellers will provide Buyer with specified transition services for up to a 90-day period following the Closing.

The foregoing summary of the APA has been included to provide investors and security holders with information regarding the terms of the APA and is qualified in its entirety by the terms and conditions of the APA, a copy of which is attached hereto as Exhibit 2.1, and the terms of which are incorporated herein by reference. It is not intended to provide any other factual information about the Sellers, Buyer, or their respective subsidiaries and affiliates. The representations, warranties and covenants contained in the APA have been made solely for the purpose of such agreement and as of specific dates, for the benefit of the parties to the APA. In addition, such representations, warranties and covenants (i) may have been qualified by confidential disclosures exchanged between the parties, (ii) are subject to materiality qualifications contained in the APA which may differ from what may be viewed as material by investors, and (iii) have been

included in the APA for the purpose of allocating risk between the contracting parties rather than establishing matters of fact. Investors should not rely on the representations, warranties and covenants or any descriptions thereof as characterizations of actual facts or circumstances, and the subject matter of representations and warranties may change after the date as of which such representations or warranties were made. Moreover, information concerning the subject matter of the representations, warranties and covenants may change after the date of the APA, which subsequent information may or may not be fully reflected in the parties’ respective public disclosures.

Cautionary Note Regarding Forward-Looking Statements

This Form 8-K may contain forward-looking statements. All statements that are not statements of historical facts, including statements regarding our restructuring process, our Chapter 11 proceedings, our operations, our evaluation of a range of options, including a possible sale of the business, the divestiture of certain assets or a standalone restructuring plan, our financial position, future growth, and the potential emergence by us as a viable, more profitable company, and our intent to make all vendor and supplier payments are forward-looking statements. We have used the words “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “predict,” “project,” “should,” “will,” “would”, “potential,” and similar terms and phrases to identify forward-looking statements in this news release. Although we believe that the assumptions underlying our forward-looking statements are reasonable, any of these assumptions could be inaccurate, and, therefore, we cannot assure you that the forward-looking statements included herein will prove to be accurate. These forward-looking statements reflect our intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors, many of which are outside our control. Actual results and trends in the future may differ materially from those suggested or implied by the forward-looking statements depending on a variety of factors including: the Partnership’s significant indebtedness, the restructuring process, actions taken in our Chapter 11 proceedings, and other risks described in greater detail in our filings with the Securities and Exchange Commission (“SEC”). Please see the Partnership’s “Risk Factors” and other disclosures included in its Annual Report on Form 10 K for the year ended December 31, 2018 filed with the SEC on April 1, 2019, and in subsequently filed Forms 10-Q and 8-K. All future written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the previous statements. The forward-looking statements herein speak as of the date of this news release. The Partnership undertakes no obligation to update any information contained herein or to publicly release the results of any revisions to any forward-looking statements that may be made to reflect events or circumstances that occur, or that we become aware of, after the date of this Form 8-K, except as otherwise required by law.

Item 9.01

Financial Statements and Exhibits.

The exhibits listed below are filed herewith.

(d) Exhibits.


EXHIBIT NUMBER		EXHIBIT DESCRIPTION

2.1		Asset Purchase Agreement, dated August 30, 2019 by and among Southcross Energy Partners GP, LLC, Southcross Energy Partners, L.P., certain of its subsidiaries, and Kinder Morgan Tejas Pipeline LLC*

Certain Schedules and Exhibits have been omitted pursuant to Item 601(b)(2) of Regulation S-K. The Partnership agrees to furnish supplementally a copy of any omitted schedule or exhibit to the Securities and Exchange Commission upon request; provided, however, that the Partnership may request confidential treatment of omitted items.

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 hereunto duly authorized.


		Southcross Energy Partners, L.P.

	By:	Southcross Energy Partners, GP, LLC
		its general partner

Date: September 6, 2019	By:	/s/ Kelly J. Jameson
		Kelly J. Jameson
		Senior Vice President, General Counsel and Secretary

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