Need incentives? Buy them: EQT GP Holdings LP sets terms for $450 million IPO

EQT GP Holdings LP, which owns GP and LP interests in midstream energy MLP EQT Midstream Partners, announced terms for its IPO on Monday. The company disclosed 7 additional bookrunners and 8 co-managers.

The Pittsburgh, PA-based MLP plans to raise $450 million by offering 20 million units at a price range of $21 to $24. At the midpoint of the proposed range, EQT GP Holdings LP would command a fully diluted market value of $6.0 billion, which would make it the year's largest company to go public. Units are being offered by a subsidiary of EQT (NYSE: EQT).

The IPO candidate will own 30% of the outstanding LP interests in EQT Midstream Partners LP (EQM), a 2% GP interest and all incentive distribution rights (IDRs).

Tallgrass Energy GP LP (TEGP), which is also a large GP with IDRs for a major public midstream energy company (NYSE: TEP), is expected to price its IPO later this week.

EQT GP Holdings LP, which was formed in 2014 and booked $523 million in sales for the 12 months ended March 31, 2015, plans to list on the NYSE under the symbol EQGP. Barclays, Goldman Sachs, BofA Merrill Lynch, Citi, Credit Suisse, Deutsche Bank, J.P. Morgan, RBC Capital Markets and Wells Fargo Securities are the joint bookrunners on the deal. It is expected to price during the week of May 11, 2015.