Kinder Morgan (KMI) will purchase El Paso Corp. (EP) in a $38B deal of cash, stock, and...

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Uncle Pie Comments (1576)
 
nice going, Seeking Alpha! This is a huge transaction, and 20 minutes since you posted this report, neither Bloomberg nor Reuters has picked it up yet.
16 Oct 2011, 03:13 PM Reply Like

Ocean Man Comments (360)
 
Holy schnikes! That's a large acquisition.
16 Oct 2011, 05:13 PM Reply Like

buyitcheap Comments (1816)
 
It lives in a van down by the river.
16 Oct 2011, 10:12 PM Reply Like

Hendershott Comments (1055)
 
Don't know the group well but are there implications for ETP and other MLP's that get drop downs from the parent companies?
16 Oct 2011, 05:23 PM Reply Like

bigbenorr Comments (477)
 
So will EPB be rolled into KMP? or simply be another part of KMI?
16 Oct 2011, 05:43 PM Reply Like

jlmanfred Comments (78)
 
If I remember correctly EP owns a large share of EPB ... maybe as much as 38% or more. Therefore, KMI will need to conserve the value of EBP one way or another. Most likely in combination with KMP??
16 Oct 2011, 06:11 PM Reply Like

bigbenorr Comments (477)
 
They have such a confusing corporate structure....

here is the quote from their website: "KMI also intends to sell (drop down) all of EP's natural gas pipeline assets to KMP and EPB over the next few years. Each of these transactions will be subject to approval by KMP's or EPB's independent directors, who are expected to obtain independent advisors to assist them in their analysis." That sort of clears it up I guess
16 Oct 2011, 08:17 PM Reply Like

Stone Fox Capital Comments (4554)
 
emphatic answer to whether this is a repeat of 2008. NO!
16 Oct 2011, 06:25 PM Reply Like

Charles A. Smith Comments (925)
 
Tennessee Gas pipeline is a hugely undervalued asset for EP; minimal capex necessary to increase volumes in this line by 2X or 3X over the next 5 years...nearly pure profit. Runs right through the heart of Marcellus and Utica formations.
16 Oct 2011, 06:59 PM Reply Like

TruffelPig Comments (3234)
 
What the EP share holders say to 37% premium? Happy? Seems a bit low. EP gained from 14 to ca. 20 during the last year.
16 Oct 2011, 07:23 PM Reply Like

Hillbilly Stock Star Comments (606)
 
Long Both EP & EPB as valuation call, check out OKE looks like they have a loaded gun! Long.
16 Oct 2011, 07:44 PM Reply Like

Donald Johnson Comments (392)
 
I'm looking for speculation on the impact of the transaction on KMP, KMR and KMI stock prices and future dividends.
17 Oct 2011, 12:08 AM Reply Like