Pipeline operator Williams Companies Inc said on Sunday it agreed to acquire control of Access Midstream Partners LP for $5.99 billion as the first step in merging it with its operations, aiming to enlarge its role in the U.S. natural gas boom. The deal gives Williams, the fourth-largest U.S. pipeline company based on market capitalization, control over the industry's largest gathering and processing master limited partnership (MLP) as measured by throughput volume.A subsequent merger of Williams' MLP, Williams Partners LP , with Access, will, if successful, create one of the largest MLPs by enterprise value - close to $100 billion.Exempt from federal income tax, MLPs have been hugely popular among investors seeking higher yields, even though their structures often have corporate governance standards weaker than those of corporations.Under the agreement unveiled on Sunday, Williams will acquire the 50 percent stake it does not already own in the controlling entity of Access, referred to as the general partner, from infrastructure fund manager Global Infrastructure Partners (GIP).
Access Midstream Partners, L.P., formerly Chesapeake Midstream Partners, L. Shares of ACMP traded higher by 2.3% or $1.47/share to $65.36. In the past year, the shares have traded as low as $44.39 and as high as $65.57. On average, 360532 shares of ACMP exchange hands on a given day and today's volume is recorded at 401518.
The Williams Companies, Inc. (Williams), is an energy infrastructure company focused on connecting North America?s hydrocarbon resource plays to markets for natural gas, natural gas liquids (NGLs), and olefins. Shares of WMB traded higher by 0.7% or $0.33/share to $47.18. In the past year, the shares have traded as low as $31.25 and as high as $48.00. On average, 4351950 shares of WMB exchange hands on a given day and today's volume is recorded at 1976462.
Williams Partners L.P. focuses on natural gas transportation; gathering, treating, and processing; storage; natural gas liquid (NGL) fractionation, and oil transportation. Shares of WPZ traded higher by 0.28% or $0.15/share to $52.92. In the past year, the shares have traded as low as $45.37 and as high as $53.98. On average, 560806 shares of WPZ exchange hands on a given day and today's volume is recorded at 369238.
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