Goldman Sachs and Carlyle Group are cashing out a portion of their stakes in Kinder Morgan after the pipeline giant closed its transformative purchase of El Paso last month.

Goldman, whose Kinder stake drew criticism during the El Paso deal, is selling 36.7 million shares of its current 134.8 million shares in the offering, which was priced at $31.88, a 3.5% discount to Tuesday's close. Goldman's take would be about $1.2bn.