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Fly News Breaks for June 23, 2017
AM, RICE, AMGP
Jun 23, 2017 | 07:05 EDT
After EQT Corp (EQT) agreed to buy Rice Energy (RICE), DA Davidson analyst Poe Fratt says that Antero Midstream's (AMGP) stock dropped partly because the market was worried that an acquisition of Antero Resources (AT) would cause Antero Midstream's stock to decline. Fratt doesn't expect such a scenario to play out, partly because the analyst doesn't believe that Antero Resources is for for sale and because Antero Resources has already dropped all midstream assets into Antero Midstream, the analyst stated. Additionally, Fratt says that "substantially all of Antero Resource's acreage is dedicated to Antero Midstream under a long-term agreement." The analyst recommends buying Antero Midstream on weakness.