Love at first sight?

GasLog Partners’ love affair with Wall Street has yet to go beyond a first date.
Peter Livanos's latest company was the toast of New York last night.

Peter Livanos's latest company was the toast of New York last night.

After the debutant had a ball yesterday, however, observers are already quoting Shakespeare in admiration.

Leading the serenade was Sam Margolin of Cowen and Company. “A rose by any other name,” the analyst’s note began today.

“What's in a name?” he wrote, extending the Romeo and Juliet theme.

“GasLog shares have seen substantial revaluation since the company announced it would form an MLP several months ago, and the strong early performance of the newly formed partnership units reflects market demand for aggressive drop downs,” he said. 

Units in the Monaco-based MLP finished after hours trading at $26.15 each last night, some distance above the $21.00 IPO price.

Three GasLog vessels have been sold to the MLP to form its initial fleet. Six of the 18 vessels remaining in the parent company, including two newbuildings, are required to be offered to the MLP as they have contracts of five years or more.

As TradeWinds reported last night, a researcher who is not affiliated with any of the banks that backed GasLog’s IPO says the rally in the share price suggests the pricing was on point.

They suggested it also illustrates ongoing interest in stocks that give investors a chance to cash in on the changing face of the oil and gas markets.

“Given the early performance of GasLog Partners and the implication of strong investor demand for an aggressive pace of vessel drop-downs, we see visible benefits to the new structure despite very little change to the physical operation and performance of the ships,” Margolin said.  

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