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Re: BBEP to acquire QRE

Posted: Thu Jul 24, 2014 2:17 pm
by mrmuileh
BBEP has traded to yield approximately 9%, so with the new divvy at $2.08, it ought to be worth roughly 23.11/share. QRE shares should be worth .9856 times $23.11 or ~$22.78.

Nothing too scientific here, but it looks like QRE should have more upside after today's pop.

MrMuileh

Re: BBEP to acquire QRE

Posted: Fri Jul 25, 2014 9:40 am
by dan_s
BreitBurn's ambition is to focus even more on oil. After bringing QR Energy's assets into its portfolio, BreitBurn will become the largest oil-focused upstream master limited partnership. Roughly two-thirds of QR Energy's reserves are oil, higher than BreitBurn's 53% oil exposure. Now, the combined company will have access to a number of premier oilfields across the United States.
Read: http://www.fool.com/investing/dividends ... qr-en.aspx

Buy the dip today.

The whole sector is down on today's minor pullback in oil prices. MLPs have a very high percentage of their production hedged, so the dip in oil prices has very little impact on them. These are buying days for upstream MLPs.

KEEP YOUR PORTFOLIO HEAVILY WEIGHTED TO OIL. Supply / Demand for oil will get very tight as we approach year-end.

Re: BBEP to acquire QRE

Posted: Fri Jul 25, 2014 11:49 am
by davidc257
If buying today, does it make more economic sense to buy QRE or WLL?

Re: BBEP to acquire QRE

Posted: Fri Jul 25, 2014 11:50 am
by davidc257
meant to say QRE or BBEP

Re: BBEP to acquire QRE

Posted: Fri Jul 25, 2014 4:18 pm
by dan_s
Each QRE unit will be exchanged for 0.9856 units of BBEP.

They closed on Friday at:
BBEP: $21.79
QRE: $20.15

So, at the price above, it is better to buy QRE.