TortoiseEcofin Announces Constituent Changes Due to Corporate Action

Rhea-AI Summary

TortoiseEcofin has announced that Phillips 66 Partners LP (NYSE:PSXP) will be removed from the Tortoise MLP Index and the Tortoise North American Pipeline Index due to its approved merger with Phillips 66 (NYSE:PSX). This removal will occur at market open on March 9, 2022. The rebalancing in both indices is triggered by corporate actions that exceed certain weighting thresholds. This change reflects the ongoing consolidation within the energy sector and showcases TortoiseEcofin’s adherence to its established methodologies.

Positive

• None.

Negative

• Removal of PSXP from Tortoise MLP Index and Tortoise North American Pipeline Index could indicate diminished recognition or support for the stock post-merger.

LEAWOOD, KS / ACCESSWIRE / March 8, 2022 / TortoiseEcofin today announced that Phillips 66 Partners LP (NYSE:PSXP) will be removed from the Tortoise MLP Index^® (TMLP), and the Tortoise North American Pipeline Index^SM (TNAP), as a result of the approved merger with Phillips 66 (NYSE:PSX). Due to the merger, PSXP will be removed from both indices at market open on Wednesday, March 9, 2022.

For both Tortoise MLP Index^® (TMLP), and the Tortoise North American Pipeline Index^SM (TNAP), PSXP will be removed with a special rebalancing.

Special rebalancings in TMLP are triggered by corporate actions such as mergers, bankruptcies, liquidations, and conversions in which the resulting weight of a single constituent exceeds the index's 7.5% threshold and the target constituent weight exceeds certain weighting thresholds. Implementation of special rebalancings will be made in accordance with existing methodologies.

Special rebalancings in TNAP are triggered by corporate actions such as mergers, bankruptcies, liquidations, and conversions in which the resulting weight of a single constituent exceeds the index's 7.5% threshold and the target constituent weight exceeds certain weighting thresholds. Implementation of special rebalancings will be made in accordance with existing methodologies.

About TortoiseEcofin

TortoiseEcofin focuses on essential assets - those assets and services that are indispensable to the economy and society. We strive to make a positive impact on clients and communities by investing in energy infrastructure and the transition to cleaner energy and by providing capital for social impact projects focused on education and senior housing. TortoiseEcofin brings together strong legacies from Tortoise, with expertise investing across the energy value chain for more than 20 years, and from Ecofin, which unites ecology and finance and has roots back to the early 1990s. To learn more, visit www.TortoiseEcofin.com.

The Tortoise MLP Index^® is a float-adjusted, capitalization weighted index of energy master limited partnerships (MLPs). The index is comprised of publicly traded companies organized in the form of limited partnerships or limited liability companies engaged in transportation, production, processing and/or storage of energy commodities.

The Tortoise North American Pipeline Index^SM is a float-adjusted, capitalization weighted index of pipeline companies that are organized and have their principal place of business in the United States or Canada. A pipeline company is defined as a company that either 1) has been assigned a standard industrial classification ("SIC") system code that indicates the company operates in the energy pipeline industry or 2) has at least 50% of its assets, cash flow or revenue associated with the operation or ownership of energy pipelines. Pipeline companies engage in the business of transporting natural gas, crude oil and refined products, storing, gathering and processing such gas, oil and products and local gas distribution. The index includes pipeline companies structured as corporations, limited liability companies and master limited partnerships (MLPs).

The Tortoise MLP Index^® and the Tortoise North American Pipeline Index^SM are the exclusive property of TIS Advisors, which has contracted with S&P Opco, LLC (a subsidiary of S&P Dow Jones Indices LLC) to calculate and maintain the Tortoise MLP Index® and the Tortoise North American Pipeline Index^SM (the "Indices"). The Indices are not sponsored by S&P Dow Jones Indices or its affiliates or its third party licensors (collectively, "S&P Dow Jones Indices"). S&P Dow Jones Indices will not be liable for any errors or omissions in calculating the Indices. "Calculated by S&P Dow Jones Indices" and its related stylized mark(s) are service marks of S&P Dow Jones Indices and have been licensed for use by TIS Advisors and its affiliates. S&P^® is a registered trademark of Standard & Poor's Financial Services LLC ("SPFS"), and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones").

This data is provided for informational purposes only and is not intended for trading purposes. This document shall not constitute an offering of any security, product or service. The addition, removal or inclusion of a security in the index is not a recommendation to buy, sell or hold that security, nor is it investment advice. The information contained in this document is current as of the publication date. Tortoise makes no representations with respect to the accuracy or completeness of these materials and will not accept responsibility for damages, direct or indirect, resulting from an error or omission in this document. The methodology involves rebalancing and maintenance of the index that is made periodically during each year and may not, therefore, reflect real time information.

Safe Harbor Statement

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.

Contact Information

For more information contact Jen Ashlock at (913) 981-1020 or info@tortoiseecofin.com

SOURCE: TortoiseEcofin

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FAQ

Why is Phillips 66 Partners LP (PSXP) being removed from Tortoise MLP Index?

PSXP is being removed due to its approved merger with Phillips 66 (PSX), which qualifies as a corporate action triggering this change.

When will Phillips 66 Partners LP (PSXP) be removed from the indices?

PSXP will be removed from the Tortoise MLP Index and Tortoise North American Pipeline Index at market open on March 9, 2022.

What indices is Phillips 66 Partners LP (PSXP) being removed from?

PSXP is being removed from both the Tortoise MLP Index and the Tortoise North American Pipeline Index.

What does the rebalancing of Tortoise MLP Index mean for PSXP?

The rebalancing indicates that PSXP no longer meets the criteria for inclusion due to its merger, which may impact its visibility and trading volume.