LONDON, UK / ACCESSWIRE / August 1, 2017 / Pro-Trader Daily takes a look at the latest corporate events and news making the headlines for Alliance Resource Partners, L.P. (NASDAQ: ARLP) ("ARLP"), following which we have published a free report that can be viewed by signing up at http://protraderdaily.com/optin/?symbol=ARLP. The Company and Alliance Holdings GP, L.P. (NASDAQ: AHGP) ("AHGP")(collectively, the "Alliance Partnerships") jointly announced on July 28, 2017, an agreement pursuant to which AHGP's incentive distribution rights ("IDRs") in ARLP have been eliminated and its approximate one percent general partner interest in ARLP has been converted into a non-economic general partner interest, in exchange for the issuance to AHGP of 56,100,000 ARLP common units (the "Exchange Transaction"). For immediate access to our complimentary reports, including today's coverage, register for free now at:

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As a result, effective from July 28, 2017, ARLP has 130,704,217 common units outstanding and AHGP now owns 87,188,338 ARLP's common units, a non-economic general partner interest in ARLP, and an approximate one percent general partner interest in ARLP's operating subsidiary, Alliance Resource Operating Partners, L.P. ("AROP").

The Exchange Transaction was unanimously approved by both, the Board of Directors of AHGP's general partner (the "AHGP Board") and the conflicts committee of ARLP's managing general partner (the "Conflicts Committee"), comprised solely of independent directors.

ARLP to Become Sole Reporting and Trading Entity

Following the Exchange Transaction, both ARLP and AHGP will remain publicly traded. The Alliance Partnerships are positioned for a potential simplification transaction at a later date, whereby ARLP would become the sole reporting and trading entity with a substantially larger public float.

The timing and structure of any such transaction is to be assessed by management and is subject to market and regulatory conditions, including the ultimate outcome of any tax reform currently under consideration by the US Congress.

Benefits of Alliance Partnerships' Streamlined Structure

Improved Distribution Growth: Alliance Partnerships' streamlined economic structure is expected to contribute to improved distribution growth in near as well as long-term and is intended to enhance value for all Alliance unit-holders.

Reduced ARLP's Cost of Capital: Elimination of the IDRs is expected to reduce ARLP's cost of capital and create flexibility for equity capital markets transactions by ARLP, whether in the form of additional common unit issuances or common unit repurchases.

Approval of Cash Distribution to Unit-holders

ARLP's Board of Directors' managing general partner also approved a cash distribution to unit-holders for the quarter ended June 30, 2017, of $0.50 per unit (an annualized rate of $2.00 per unit), payable on August 14, 2017, to all ARLP's unit-holders of record as of close of trading on August 07, 2017. The announced distribution reflects an increase of 14.3% compared to the distributions declared for the quarters ended June 30, 2016 (the "2016 Quarter") and March 31, 2017 (the "Sequential Quarter").

Based on ARLP's declared distribution, AHGP's Board approved a cash distribution of $0.73 per unit for the 2017 quarter (an annualized rate of $2.92 per unit) payable on August 18, 2017, to all AHGP's unit-holders of record on August 11, 2017. AHGP's announced distribution reflects an increase of 32.7% compared to the distributions declared for the 2016 and Sequential Quarters.

Financial Advisors

Wells Fargo Securities, LLC acted as the financial advisor in connection with the Exchange Transaction to AHGP's Board, which was represented by Vinson & Elkins LLP. Robert W. Baird & Co. Inc. was appointed as financial advisor by the Conflicts Committee, in connection with the Exchange Transaction. Andrews Kurth Kenyon LLP represented the Conflicts Committee.

About Alliance Resource Partners, L.P.

Alliance Resource Partners, L.P. is a diversified producer and marketer of coal to major United States utilities and industrial users. ARLP, the nation's first publicly traded master limited partnership involved in the production and marketing of coal, is currently the second largest coal producer in the eastern United States with mining operations in the Illinois Basin and Appalachian coal producing regions. Headquartered in Tulsa, Oklahoma, the Company currently operates eight mining complexes in Illinois, Indiana; Kentucky, Maryland; and West Virginia as well as a coal-loading terminal on the Ohio River at Mount Vernon, Indiana.

About Alliance Holdings GP, L.P.

Founded in 2005, Alliance Holdings GP, L.P. is a limited partnership formed to own and control Alliance Resource Partners, L.P.'s managing general partner (Alliance Resource Management GP, LLC) through which it holds a non-economic general partner interest in ARLP.

Last Close Stock Review

On Monday, July 31, 2017, the stock closed the trading session at $20.20, marginally up 0.75% from its previous closing price of $20.05. A total volume of 643.08 thousand shares have exchanged hands, which was higher than the 3-month average volume of 329.87 thousand shares. Alliance Resource Partners' stock price advanced 4.12% in the last one month and 4.94% in the previous twelve months. The stock is trading at a PE ratio of 4.76 and has a dividend yield of 8.66%. The stock currently has a market cap of $1.50 billion.

Alliance Holdings GP's share price finished yesterday's trading session at $28.63, surging 12.63%. A total volume of 555.75 thousand shares have exchanged hands, which was higher than the 3-month average volume of 126.97 thousand shares. The Company's stock price rallied 16.67% in the last one month and 12.54% in the previous twelve months. Furthermore, since the start of the year, shares of the Company have gained 1.89%. Shares of the Company have a PE ratio of 8.16 and have a dividend yield of 7.68%. The stock currently has a market cap of $1.73 billion.

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