Well, ETE is the general partner (yld 2.6%) and ETP is the "MLP" (yld 6.6%).
In general, the yield of the partnership is higher than the general partner's yield, but the general partner will generally have higher growth in share price.
See share price growth comparison:
finance.yahoo.com
Energy Transfer Partners (NYSE: ETP ) and its general partner Energy Transfer Equity (NYSE: ETE ) are excellent choices for those seeking secure, high and growing yields.
The key to understanding the investment thesis behind Energy Transfer Partners is scale. This is not so much a single MLP or company but an intricate empire with total enterprise value of $90 billion:
Energy Transfer Equity is general partner to Energy Transfer Partners, Sunoco Logistics Partners, and Regency Energy Partners.Energy Transfer Partners also owns 32.2% of Sunoco Logistics Partners as well as IDR rights. Energy Transfer Partners recently acquired Susser Holdings Corporation, the general partner of Susser Petroleum Partners (now Energy Transfer Partners owns 50% of Susser's limited units and 100% of gp and IDR rights) for $1.8 billion.In a joint venture, Energy Transfer Partners and Energy Transfer Equity own Energy Transfer LNG, which operates a Lakes Charles, Louisiana LNG regasification and storage facility for the export of liquefied natural gas (LNG).
All told, the Energy Transfer empire consists of 61,900 miles of pipelines, 42 storage and export terminals, 25 processing facilities, and 6,400 gas stations.
Energy Transfer Equity founder and Chairman, Kelcy Warren is not anywhere close to done with his empire building. In 2010 and 2011 he orchestrated $13 billion in acquisitions and just recently came close to a $15 billion to $17 billion acquisition of Targa Resources (which fell through at the last minute). |
