Inter reconfirms Pembina decision, rejecting Brookfield
Inter Pipeline Ltd. reconfirmed today it unanimously recommends that shareholders support the strategic share-exchange transaction with Pembina Pipeline Corporation and reject the revised hostile takeover offer proposed by an affiliate of Brookfield Infrastructure Partners L.P.
“The proposed combination with Pembina provides Inter Pipeline shareholders the ability to participate in a large, highly integrated energy infrastructure business with significant potential growth opportunities across the value chain, including additional future cash flow from the Heartland Petrochemical Complex,” said Margaret McKenzie, chair of the board and the special committee. “The strategic combination with Pembina supports an immediate increase in dividend yield and the ability to participate in meaningful anticipated commercial and operational synergies.”
Inter expects the intrinsic value of this business combination to be in excess of $19.45 per share for Inter Pipeline shareholders, which is superior to the revised Brookfield offer.