OTCPK:ICPVF - Post by User
Comment by
MOJOJONOon Mar 28, 2020 1:44am
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Post# 30855401
RE:RE:RE:Merger
RE:RE:RE:MergerI'm not sure how it would work for PPL since they signed on with the Kuwaitis, any break fees or what not.
IPL early on did say they chose to go at this alone, but left an opening if someone brought something useful to the table beyond capital then maybe they would be interested. Some selected notes I took when conversing with IR back around
August 30, 2017:
- Canada is not a big user (of PolyPropylene), but Canada still imports 500k tonnes.
- Target market for Polypropylene is mostly USA and probably some Canada.
- Pembina Pipelines (PPL) will be building same size +500k, but IPL doesn't think it will over saturate the market. "We would build a second facility if PPL didn't." (2020: PPL has placed their plans on hold.)
- Partnering is not off the table, but it would be a good access to Capital.
- However a Joint Venture would be about more than money. IPL would want them to bring expertise and contracts.
- Example of IPL financial strength, 2013-2015, $3bn deal was done solo and this was when IPL was smaller. Now IPL is bigger and should be able to do it solo.
- Joint Ventures means more complex contracts for supply and product sales.
- IPL has a good track record, so why give up returns. We have experts.
- The Williams management and staff have been retained from the acquisition, giving IPL their expertise.