Pembina Pipeline Corp T.PPL

Pembina should aquire Heartland

[Stevesack]

Brookfield doesn't want to be in the plastic manufacturing business, Pembina should buy Heartland for 100 million shares or there about, Brookfield then owns 15%of Pembina an receives $21,000,000 a month in distributions. Pembina owns the cash cow that Heartland will be and we'll all be better off.

[bttmfischer]

I disagree. Brookfild most certainly wanted to own Heartland, even though it took them a long time and sweetenng the pot. Pembina did not have the money then, and don't have it now.

[roberto146]

"Pembina did not have the money then, and don't have it now." The offer for IPL was paper only - no cash. I was surprised they didn't just bump up the paper offer, considering they had cancelled their own polypro plant deal earlier.

[bttmfischer]

Not paper money at all. Brookfiels also assumed all IPL's debt (which was the reason for this distress sale to befin with),and the also offered $20 per IPL shares. Brookfield bought 18000 of mine. I liked that paper.

[bttmfischer]

In a way of disclosure I owned IPL and PPL and Brookfields at the time, and  was convinced that Pembina could not take on any more debt to buy IPL AND Heartland at the time. Just look at the EPS number of PPL, to get the idea.

[SargeX]

My wife & I also owned PPL, IPL, and BIP.UN before the take-over and totally agree with you. I'm getting a little tired of companies with huge debt (ie: ALA, IPL, and now AQN) and was very happy that PPL didn't up the bid. I suspect Brookfield would have eventually done what they needed to do to win the take-over anyway. Since all the take-over BS, we have sold all our BIP.UN shares

[Cheadle12]

Well said. Anything Mark Carney has a hand in is typically slimey.. .he's not to be trusted.. slithery little snake he is.. Keyera & Pembina however are solid companies.  David Smith over at Keyera was great before he retired, many years to build up a solid and ethical company. I hold KEY & PPL, but I often have the thought that they should just consolidate.. i.e. PPL acquire

[mrbb]

yah, that was how bipc stole ipl, with the cash bait. I'm sure both ipl and ppl investors are into pipeline for the long haul and wouldn't mind owning more ppl shares. Beside, if i'm correct, the share conversion wouldn't trigger a taxable event. I think brookfield outsmarted ppl, by knowing what the institution fund managers wanted, as institution want to reduce or exit oil and

[stocktalk]

I think Brookfied will break up Heartland and other pipelines and sell them off at a premium to ppl. They are not really into oil and gas infrastructure.

[bttmfischer]

I understand that Brookfield already owns and operates pipelines. That is stated on their website. That was also their argument during the IPL pipeline debate.

[Antonyius]

They do but Brookfield's bread and butter is to buy assets that are undervalued, get them running to full capacity or at higher efficiency then sell at a premium. They do this with pipelines in South America, real estate in Asia, etc.

[mrbb]

there were some ppl investors here who jumped for joy in getting the 350M breakup fee from IPL.  What a bunch of fool. PPL shoulda coulda bump up their bid for IPL, better yet, PPL shoulda bought out IPL or the half built heartland even earlier like before BIPC got into picture, instead of spending engineering and design for their own polypropylene plant which now had to writeoff. The synergy

[Albatross]

The problem with bumping up an all stock offer is usually it negatively impacts the share price of the company that is trying to take over. They took the only swing they could and PPL shareholders responded negatively (share price went down). Any further swings at it would have further reduced share price, made PPL look foolish, and the deal would be no better for IPL shareholders who were only

[bttmfischer]

I totally agree Albatross. As a Pembina shareholder, I was concerned that PPL's leadership may lose their financial wisdom and take on IPL which included Heartland. That could have turned into a fiscal quicksand.  Brookfield could weather big potential cost overruns, but (as a PPL shareholder) I didn't think Pembina  could.. I said this before, I am not a fan of the Brookfield

[Albatross]

Yes it would appear they do know how to make money. I'm looking at buying some Brookfield for my rrsp account. 

[SargeX]

And as I showed in my previous post, I totally agree with both you & Albatross. As an aside on my not liking the way Brookfield operates and selling all 3 of our Brookfield holdings, I do feel really good about selling. Since the selling, BIP is up a bit, BEP has been murdered, and BPY is gonzo. It's not so much the money, I just don't feel "right" owning anything Brookfield