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Pembina Pipeline Corp T.PPL

Alternate Symbol(s):  PBA | PBNAF | T.PPL.PR.A | T.PPL.PR.C | PPLAF | T.PPL.PR.E | PMBPF | T.PPL.PR.G | T.PPL.PR.I | T.PPL.PR.O | PPLOF | T.PPL.PR.Q | T.PPL.PR.S | PMMBF | T.PPL.PF.A | T.PPL.PF.E | T.PPL.PF.B

Pembina Pipeline Corp is a Canada-based energy transportation and midstream service provider. The Company owns pipelines that transport hydrocarbon liquids and natural gas products produced primarily in Western Canada. It also owns gas gathering and processing facilities and an oil and natural gas liquids infrastructure and logistics business. It operates through three segments: Pipelines, Facilities and Marketing & New Ventures. The Pipelines segment provides customers with pipeline transportation, terminalling, and storage in key market hubs in Canada and the United States for crude oil, condensate, natural gas liquids and natural gas. The Facilities segment includes infrastructure that provides Pembina's customers with natural gas, condensate and natural gas liquid (NGL) services. The Marketing & New Ventures segment undertakes value-added commodity marketing activities including buying and selling products, commodity arbitrage, and optimizing storage opportunities.


TSX:PPL - Post by User

Comment by Albatrosson Jul 06, 2021 1:45pm
402 Views
Post# 33499619

RE:RE:IPL Management ?

RE:RE:IPL Management ?

Makes sense. Part of the theoretical efficiencies of mergers is LESS management relative to asset base.. ie. there's only room for 1 CEO. Same applies for many other positions. 

Sometimes it backfires if the take-over company reduces too many positions or fires people with hard to replace knowledge. Another 'growing pain' to consider would be if the companies had very different corporate structures and systems. Lack of training, lack of policy review, lack of employee buy-in, contradictions in safety policies/procedures etc.. These all create friction points that can reduce overall efficiency and would be something a prudent company would be on the look out for, to mitigate against.

But yeah the thing to keep in mind is it's all relative. So if PPL does take over IPL for sure it will end up with larger management numbers (that's just what happens when a company grows). However, the combined company will have less corporate overhead relative to what there would be if the two companies were to remain separated .. 

 

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