Kinder Morgan is paying $70 billion to acquire Kinder MorganEnergy Partners and El Paso Pipeline Partners. KMP rallied after the merger announcement, which makes it tempting to sell at this price and cash out. But I fully intend to hold units long after the acquisition closes, because the deal will create substantial value for investors. First, it reduces Kinder Morgan's cost of capital by eliminating the incentive distribution rights. Incentive distribution rights are fees paid to the general partner of an MLP to share in the distributable cash flow provided by the partnership.