NEW YORK (TheStreet) --PennTex Midstream Partners (PTXP), a master limited partnership focused on owning, operating, acquiring and developing midstream energy infrastructure assets, went public on the Nasdaq on Thursday.
CEO Thomas Karam, who rang the closing bell, told TheStreet's Jill Malandrino that MLPs are a tax-efficient investment that have been around for quite some time. Investors purchase MLP units to provide funds for infrastructure and transportation processing in the oil and natural gas space in return for an attractive yield to the unit holder.
He added has a a number of core assets already ramping cash flow as well as high-quality growth projects that will quadruple earnings before interest, taxes, depreciation and amortization in the short term.
Why go public now? He said while energy markets have been under pressure, coming public on the Nasdaq has nothing to do with a particular day but everything to do with building assets for the long term. For instance, its primary customer, Memorial Resource Development, which operates in northern Louisianna, is a very rapidly growing production company.