Good news is while spot rates are pressured,Contract rates are not....therefore no impact on all but one uncontracted Vessel
The accreation from the Drop the offering Financed should result in a nearly 50% increase in current (ltm) annualized DCF....WHICH TRANSLATES INTO A SIMILAR INCREASE IN DISTRUBUTIONS.as we move forward...6%PPS HIT TODAY makes little sense.
Wouldn't short either,but also wouldn't buy in front of a very weak expected Earnings report this week And strong probability of a Dividend cut.
Murphy USA,SPUN OFF from MUR about 3 years ago holds those Contracts....No relationship to Murphy Oil....Except the Murphy Family holdings
$744mm divided by $3.040B is less than 25% even assuming they can use100% of the proceeds for Debt repayment..I agree they should be reducing Debt..Particularly since they were cut to below IG.So I guess I view it as necessary rather than positive.
Half of what I expected..Guess it's the sign of the times,building coverage...Hard to complain of 11years of consecutive quarterly increases @ double-digit annual rates.