NEW YORK (TheStreet) -- Susser Holdings (SUSS) shares are jumping, up 39.5% to $79.60 in early market trading on Monday, following the announcement of its acquisition agreement with Energy Transfer Partners (ETP).
Under the agreement, Energy Transfer Partners will acquire the gas station and convenience store operator for approximately $1.8 billion.
Energy Transfer Partner shares are down -0.2% to $55.70 in early market trading.
Under the agreement, Susser Holdings shareholders will have the option of receiving either $80.25 in cash, 1.4506 ETP common share units or a combination of both per share share owned as compensation.
The transaction was unanimously approved by the boards of both companies and is expected to close in the third quarter of this year.
TheStreet Ratings team rates SUSSER HOLDINGS CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate SUSSER HOLDINGS CORP (SUSS) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."