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Scotiabank downgrades Crestwood Equity on Energy Transfer merger

Scotiabank downgrades Crestwood Equity on Energy Transfer merger

Scotiabank analyst Tristan Richardson downgraded Crestwood Equity Partners (CEQP) to Sector Perform from Outperform with a price target of $27, down from $29, following the merger announcement with Energy Transfer LP (ET). The analyst views the transaction as “logical” and says the synergies seem “very conservative.” The firm expects Crestwood Equity units between now and the deal close to be tethered to ET unit price.

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