Tue, Sep 16, 2014, 7:17 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Inergy, L.P. Message Board

you are viewing a single comment's thread.

view the rest of the posts
  • rrb1981 rrb1981 Jul 12, 2004 9:40 PM Flag

    new acquisition

    Just another bolt on acquisition. $28 million in total, probably bought at 6x or 7x cash flow. Again, as I have said before, the impact of these acquisitions by themselves on the distribution is diminimus but when viewed in the context of lumping them all together, you can piece together the puzzle pieces to see how they manage to grow the distribution at a 10% rate a year. A few cents here and there....look for NRGY to make 3 or 4 more of these by end of 04.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • I would say that they purchased this for about 8 or 9 times the cash flow. With 10 million gallons they are going to be pressed to put off over 3 to 4 million EBIDAT. I understand they are running very high margins to make a profit increase. This may lead to customer losses. A few more of these highly leveraged buyouts at multiples of $2.80 per gallon and they may very well endanger the future of the company.

 

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.