In the first quarter of 2022 Oasis Midstream Partners (OMP) will complete a merger with Crestwood Equity Partners (CEQP). Oasis investors will receive 0.87 Crestwood units for every Oasis unit owned. But, Crestwood plans to increase its distribution by 5% in the first quarter of next year. The distribution received by Oasis investors should be roughly the same as they receive now.
100 shares of Oasis right now with a distribution of $2.24/share provides $224.00 of annual income.
100 shares of Oasis converts to 87 shares of Crestwood.
87 Shares of Crestwood with a distribution of $2.625 post merger will provide $228.38 of annual income.