Ladenburg Thalmann Downgrading Duncan Energy Partners

Ladenburg Thalmann is out with a research report on Duncan Energy Partners L.P. DEP and it is downgrading shares to Neutral with a $44 price target. In a note to clients, Ladenburg Thalmann writes, "Our 12-month PT of $44 is based on EPD's (EPD: $40.74: Buy Rated) new exchange offer of 1.01 EPD units for each DEP unit (value derived based on closing price of EPD's units at $43.70 on February 22, 2011 – the last trading day before EPD announced its initial proposal to acquire all of the common units of DEP owned by the general public). To recall, in EPD's initial proposal on February 23, 2011, EPD made a unit exchange offer of 0.9545 EPD units for each DEP unit. Then on April 29, 2011 EPD raised the exchange offer rate to 1.01 EPD units for each DEP unit." Shares of DEP gained $1.58 yesterday to close at $42.30, a gain of 3.88%.