Why Units of Crestwood Equity Partners Rocketed 45% in 2021

Units of Crestwood Equity Partners (NYSE: CEQP) surged 45.4% in 2021, according to data provided by S&P Global Market Intelligence. That was well ahead of the S&P 500's more-than-27% gain in 2021. Several factors fueled the master limited partnership's (MLP) rally last year, including improving oil market conditions and several transactions to enhance its operations and balance sheet.

Crestwood Equity Partners completed three major strategic transactions in 2021. In March, it agreed to a series of transactions with private equity firm First Reserve, enabling that entity to exit its investment in Crestwood. Crestwood acquired 11.5 million units and its general partner from First Reserve for $268 million. That deal boosted the MLP's distributable cash flow per unit by more than 15% and enhanced its credit profile.

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Source Fool.com