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Pembina to buy Kinder Morgan Canada for $1.73 billion

Christian Fernsby |
Pembina Pipeline Corp said on Wednesday it would buy smaller rival Kinder Morgan Canada in a transaction that values it at about C$2.3 billion ($1.73 billion).

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Topics: PEMBINA    KINDER MORGAN   

The all-share deal values Kinder Morgan Canada at about C$15.02 per share, representing a premium of 36.8% to the stock’s Tuesday close.

Pembina will acquire assets including the Cochin pipeline System, the Edmonton storage and terminal business and bulk storage business Vancouver Wharves, as part of the Kinder Morgan Canada deal.

The company said it will also buy the U.S. portion of the Cochin pipeline system from Kinder Morgan Inc for about C$2.05 billion in cash.


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