Back to top

Image: Bigstock

Energy Transfer Partners (ETP) and Sunoco Complete Merger

Read MoreHide Full Article

Energy Transfer Partners recently announced that the majority of its unitholders have voted in favor of its proposed merger with Sunoco Logistics Partners. The merged entity retained the name “Energy Transfer Partners” and started trading on the New York Stock Exchange under the ticker symbol "ETP". The deal was okayed by 88% of the Energy Transfer's unitholders.

Under the terms of the merger, unit holders of each ETP common unit got the right to receive 1.5 Sunoco Logistics common units. Based on the ETP units outstanding, approximately 845 million common units have been issued by Sunoco Logistics to Energy Transfer Partners unitholders. For the merger, the outstanding ETP Class E, G, I and K units were converted into an equal number of newly created classes of Sunoco Logistics units identical to the ETP units,. The outstanding common units of Sunoco Logistics and its Class B units owned by ETP at the time of the merger were canceled.

Before the merger, Energy Transfer owned and operated on more than 62,500 miles of natural gas and natural gas liquids pipelines. The merger will create a distinct network of pipelines and terminals for crude oil, natural gas liquids, and refined products.

About the Company

Energy Transfer is a publicly traded partnership that owns and operates a diversified portfolio of energy assets. The partnership's natural gas operations include miles of natural gas gathering and transportation pipelines, natural gas treating and processing assets in Texas and Louisiana, and three natural gas storage facilities in Texas. The partnership is headquartered in Dallas, TX.

Price Performance

In the last one month, Energy Transfers Partners units underperformed the Zacks categorized Oil and Gas - Production Pipeline – MLP industry. During this period, the units of the partnership lost 2.02%, while the industry witnessed a decrease of 0.97%.

Zacks Rank and Stocks to Consider

Energy Transfer Partners presently has a Zacks Rank #3 (Hold). Some better-ranked stocks in oil and energy sector include Global Partners LP (GLP - Free Report) , PBF Logistics LP and Antero Resources Corporation (AR - Free Report) . All these stocks flaunt the Zacks Rank #1 (Strong Buy). You can see the complete listof today’s Zacks #1 (Strong Buy) Rank stocks here.

Global Partners is expected to witness sales growth of 7.98% year over year in 2017. The partnership had an average positive earnings surprise of 96.55% in the last four quarters.

PBF Logistics is expected to record 41.69% year-over-year growth in 2017 sales. The company had an average positive earnings surprise of 17.80% in the last four quarters.

Antero Resources is expected to record 7.82% year-over-year growth in 2017 sales. The company had an average positive earnings surprise of 239.10% in the last four quarters.

5 Trades Could Profit "Big-League" from Trump Policies

If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Global Partners LP (GLP) - free report >>

Antero Resources Corporation (AR) - free report >>

Published in