Deals
Brookfield Moves Closer to Pipeline Victory as Pembina Exits
- Calgary firm drops Inter Pipeline bid, gets C$350 million fee
- Brookfield recently revised terms of its hostile takeover bid
An Inter Pipeline petrochemical complex under construction in Strathcona County, Alberta.
Photographer: Jason Franson/BloombergThis article is for subscribers only.
The takeover battle for one of Canada’s largest energy companies moved closer to resolution after Pembina Pipeline Corp. terminated its C$8.5 billion ($6.7 billion) deal to acquire Inter Pipeline Ltd., clearing a path for Brookfield Infrastructure Partners LP, which has pursued a hostile bid.
Inter Pipeline will pay a C$350 million termination fee to Pembina and will make a recommendation to shareholders on Brookfield’s unsolicited offer “in due course,” according to a statement Monday. After five months of trying to fend off its suitor, Inter said its board is “open to engaging with Brookfield in an effort to reach a mutually agreeable transaction.”