Energy Transfer Equity, L.P. (NYSE:ETE) raised its offering price for Southern Union Company (NYSE:SUG) today to $8.9 billion, including $5.1 billion in cash and ETE common units.Under the deal, unanimously approved by the board of directors for Southern Union, shareholders of SUG can elect to exchange their common shares for $40.00 in cash or 0.903 ETE common units.The new offer is significantly higher than the company’s original $33 per share, $7.9 billion offer it made on June 16, and trumps the $8.7 billion cash bid made by Williams Co (NYSE:WMB) on June 24.Kelcy Warren, ETE's Chairman of the Board said, "We have listened to SUG shareholders and are providing a superior yet simpler transaction, including a significant cash component and the opportunity to benefit from ETE's upside through the ownership of ETE common units. The revised ETE Southern Union agreement delivers superior value, highly compelling equity participation and certainty to close for SUG shareholders. The Southern Union board and I strongly believe that ETE is the right partner for Southern Union and that the combination of our companies is in the best interests of our investors, customers and employees."Energy Transfer Equity has a potential upside of 14.5% based on a current price of $44.68 and an average consensus analyst price target of $51.17.