Can't wait until Monday when David Faber and Jim Cramer babble incoherently about what it all means.
It's like throwing one banana to two monkeys and watching them deal with it.
It wasn't based on the validity of the tax opinion, but on whether or not the inability to issue a tax opinion was made in good faith.
Wasn't part of the so-called justification based on the need to have cash available to ensure ETP's credit rating (with or without the burden of the $6 billion needed for WMB??)? I agree that now that WMB has been cut loose there's no real or imagined justification for it only to be available to the privileged few.
KW could easily lose if it goes to court and would probably regain some of his previous popular reputation if we all could join in or something else replaced the unfavorable terms for the majority.
You can't use the funds generated by the sale of shares until they've settled, but if you've been sitting on sufficient cash, you can use that to buy back in.
Both KMI and ETE need to tend to their own organic growth. I doubt the market would be pleased if ETE jumped from one debacle to another.
"No money will change hands."
I think ETE still has to pay over $400 million to WMB.
Also, it's likely that WMB will appeal the ruling.
It seems at least once a week they put out some ETE bashing article. Does anyone actually pay any attention to the childish nonsense they keep pumping out? They seem to have a single-minded vendetta against the company.
Yes, I think anyone planning to make a large purchase or sale has placed their bets and will wait for the roulette wheel to stop spinning. The July 15 open interest in options is relatively high. Maybe protection. Maybe leveraged bets on how things will play out.
Should be "interesting" to watch this get whipsawed on any news the next couple of weeks. Buckle up.
"Any deal" would probably send ETE's price lower at first since trying to understand the implications of anything new would overwhelm Mr. Market. WMB might rise since they seem increasingly desperate to be saved. In time, depending on the terms of the deal & the direction of energy prices, ETE would probably benefit, but we'd have to endure Cramer & Faber et al "explaining" what took place and adding to the confusion.