Dominion Files Registration Statement for Dominion Midstream Partners, LP Initial Public Offering

Source: Dominion Resources, Inc.; Cove Point LNG Facility. 

Dominion Resources, Inc. announced today that its midstream subsidiary has officially filed for limited partnership status.


Dubbed Dominion Midstream Partners, LP, the recently formed company will allow Dominion Resources to take advantage of tax breaks on its pipeline and storage assets, as well as rebalance finances across its two entities.

Spectra Energy Corp. underwent a similar process when it formed Spectra Energy Partners, LP in 2007 to keep its natural gas earnings as profitable as possible. In Dominion Resources, Inc.'s case, the limited partnership will own its natural gas infrastructure assets, including its liquefied natural gas (LNG) import, storage, regasification, and transportation assets at its Cove Point facility in Maryland.

According to its SEC filing, Dominion Resources hopes to raise around $400 million from its limited partnership IPO, although share numbers and prices have yet to be announced. If approved, the new limited partnership will trade on the New York Stock Exchange with the ticker "DM." Dominion Resources, Inc. will remain the majority shareholder.

link

The article Dominion Files Registration Statement for Dominion Midstream Partners, LP Initial Public Offering originally appeared on Fool.com.

Justin Loiseau has no position in any stocks mentioned. The Motley Fool recommends Dominion Resources and Spectra Energy. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Can't get enough business news?

Sign up for Finance Report by AOL and get everything from retailer news to the latest IPOs delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.