Best news ever!!This is wonderful news.
Pembina gets $350 million break fee and once Brookfield starts cutting up IPL they will get bid on what they want.
Even better news is the combination of IPL and Brookfield will now result in a lot of funds and investors with too large a position as a result of the combination. What is likely to happen is some will wait for the cash...... That however is a mistake as others will not want to wait and start selling now. Which is what is already happenning as both IPL and Brookfield are done today. The smart money is selling and buying Pembina now to redistribute their portfolio. The dumb money will greedily wait for the cash thinking they come ahead as they watch Pembina go higher and higher meanhwile missing an opportunity to make money.
Pembina is likely to have a bit of a rally now as the clouds have gone and they emerge with even more money.
I really was not happy with the merger as I still feel that facility IPL is building will be late to be completed and cost a lot more and it will likley be a year or so longer before it starts giving back cash. Brookfiled can now deal with that as they chop up the pieces of IPL.
Regardless I am now going to enjoy this rally over the next few weeks as Pembina reports great earnings, improved cash flow and starts giving a picture where the growth will come down the road.