I think you're right. But it seems to me that no drop downs in this weak energy market is not bad for eep. They don't have to take on debt in a (potentially) raising interest rate market or sell shares in a weak share price market. So all in all I think the lack of drop downs in 2015-16 is a blessing in disguise.
Let me ask all you dividend decrease whiners a two part question. Part 1: How long at 20-30% distribution growth will it take for MPLX + MWE in combination to exceed MWEs present distribution amount? Part 2: You have all had MWE for several years. What will be your YOC (yield on cost) after the combination at MPLXs final distribution amount this year of $1.90-$2.00?
The answer to these question is why I, as a holder since 2007 will be voting Yes on the merger. And by the way, the merger WILL go thru unless the large holders vote it down. Pissant small share holders like us have NO hope of blocking a merger agreed to by the company involved.
"So if the deal is so bad, will not most MWE shareholders vote no, and will their votes outweigh those of management?"
Short answer: NO their votes their votes WILL NOT outweigh those of management! The reason? Large holders will carry the vote & they will vote YES because they are motivated by Cap Gains, not dividend income.
I happen to like the deal, by the end of 2017 the distribution will be higher than the $3.64 of today & the $3.37 with MPLX's distribution will cover 2016. Naturally this assumes that MPLX hits their 25-29% distribution increase goal but I believe they will. I'll be voting yes, if you disagree vote no.