Pembina Pipeline Corporation Announces $500 Million Public Note Offering
June 20 2023 - 5:01PM
Business Wire
Pembina Pipeline Corporation ("Pembina" or the "Company") (TSX:
PPL; NYSE: PBA) announced today that it has agreed to issue $500
million aggregate principal amount of senior unsecured medium-term
notes (the "Offering"). The Offering will be conducted in three
tranches consisting of $300 million principal amount of senior
unsecured medium-term notes, series 19 (the "Series 19 Notes")
having a fixed coupon of 5.72% per annum, paid semi-annually, and
maturing on June 22, 2026; $100 million principal amount to be
issued through a re-opening of the Company's senior unsecured
medium-term notes, series 5 (the "Series 5 Notes") having a fixed
coupon of 3.54% per annum, paid semi-annually, and maturing on
February 3, 2025; and $100 million principal amount to be issued
through a re-opening of the Company's senior unsecured medium-term
notes, series 6 (the "Series 6 Notes") having a fixed coupon of
4.24% per annum, paid semi-annually, and maturing on June 15,
2027.
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Closing of the Offering is expected to occur on June 22, 2023
and the net proceeds are intended to be used to repay indebtedness
of the Company under its unsecured $1.5 billion revolving credit
facility, as well as for general corporate purposes.
The Series 19 Notes and the re-opened Series 5 Notes and Series
6 Notes are being offered through a syndicate of dealers under
Pembina's short-form base shelf prospectus dated November 29, 2021,
as supplemented by related pricing supplements dated June 20,
2023.
This news release does not constitute an offer to sell or the
solicitation of an offer to buy the notes in any jurisdiction. The
notes being offered have not been approved or disapproved by any
regulatory authority. The notes have not been and will not be
registered under the United States Securities Act of 1933, as
amended, or any state securities law, and may not be offered or
sold within the United States.
About Pembina
Pembina Pipeline Corporation is a leading energy transportation
and midstream service provider that has served North America's
energy industry for more than 65 years. Pembina owns an integrated
network of hydrocarbon liquids and natural gas pipelines, gas
gathering and processing facilities, oil and natural gas liquids
infrastructure and logistics services, and a growing export
terminals business. Through our integrated value chain, we seek to
provide safe and reliable infrastructure solutions which connect
producers and consumers of energy across the world, support a more
sustainable future and benefit our customers, investors, employees
and communities. For more information, please visit
www.pembina.com.
Purpose of Pembina: We deliver extraordinary energy solutions so
the world can thrive.
Pembina is structured into three Divisions: Pipelines Division,
Facilities Division and Marketing & New Ventures Division.
Pembina's common shares trade on the Toronto and New York stock
exchanges under PPL and PBA, respectively. For more information,
visit www.pembina.com.
Forward-Looking Information and Statements
This news release contains certain forward-looking statements
and information (collectively, "forward-looking statements") within
the meaning of the "safe harbor" provisions of applicable
securities legislation that are based on Pembina's current
expectations, estimates, projections and assumptions in light of
its experience and its perception of historical trends. In some
cases, forward-looking statements can be identified by terminology
such as "expect", "intend", "will", "shall", and similar
expressions suggesting future events or future performance.
In particular, this news release contains forward-looking
statements relating to the Offering, including the anticipated
closing date of the Offering and the use of the net proceeds of the
Offering. These forward-looking statements are based on certain
assumptions that Pembina has made in respect thereof as at the date
of this news release, including: oil and gas industry exploration
and development activity levels and the geographic region of such
activity; that favourable market conditions exist; the success of
Pembina's operations; prevailing commodity prices, interest rates,
carbon prices, tax rates and exchange rates; the ability of Pembina
to maintain current credit ratings; the availability of capital to
fund future capital requirements relating to existing assets and
projects; future operating costs; geotechnical and integrity costs;
that all required regulatory and environmental approvals can be
obtained on the necessary terms in a timely manner; prevailing
regulatory, tax and environmental laws and regulations; maintenance
of operating margins; and certain other assumptions in respect of
Pembina's forward-looking statements detailed in Pembina's Annual
Information Form for the year ended December 31, 2022 (the "AIF")
and Management's Discussion and Analysis for the year ended
December 31, 2022 (the "Annual MD&A"), which were each filed on
SEDAR on February 23, 2023, in Pembina's Management's Discussion
and Analysis for the three months ended March 31, 2023 (the
"Interim MD&A"), which was filed on SEDAR on May 4, 2023, and
from time to time in Pembina's public disclosure documents
available at www.sedar.com, www.sec.gov and through Pembina's
website at www.pembina.com.
These forward-looking statements are not guarantees of future
performance and are subject to a number of known and unknown risks
and uncertainties, including, but not limited to: the regulatory
environment and decisions and Indigenous and landowner consultation
requirements; the impact of competitive entities and pricing;
reliance on third parties to successfully operate and maintain
certain assets; the strength and operations of the oil and natural
gas production industry and related commodity prices;
nonperformance or default by counterparties to agreements which
Pembina or one or more of its affiliates has entered into in
respect of its business; actions by governmental or regulatory
authorities; the ability of Pembina to acquire or develop the
necessary infrastructure in respect of future development projects;
fluctuations in operating results; adverse general economic and
market conditions in Canada, North America and worldwide; the
ability to access various sources of debt and equity capital;
changes in credit ratings; counterparty credit risk; and certain
other risks and uncertainties detailed in the AIF, Annual MD&A,
Interim MD&A and from time to time in Pembina's public
disclosure documents available at www.sedar.com, www.sec.gov and
through Pembina's website at www.pembina.com. In addition, the
closing of the Offering may not be completed, or may be delayed, if
the conditions to the closing of the Offering are not satisfied on
the anticipated timeline or at all. Accordingly, there is a risk
that the Offering will not be completed within the anticipated
time, on the terms currently proposed, or at all. The intended use
of the net proceeds of the Offering by Pembina may change if the
board of directors of Pembina determines that it would be in the
best interests of Pembina to deploy the proceeds for some other
purpose and there can be no guarantee as to how or when such
proceeds may be used.
Accordingly, readers are cautioned that events or circumstances
could cause results to differ materially from those predicted,
forecasted or projected. Such forward-looking statements are
expressly qualified by the above statements. Pembina does not
undertake any obligation to publicly update or revise any
forward-looking statements or information contained herein, except
as required by applicable laws.
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Investor Relations (403) 231-3156 1-855-880-7404
investor-relations@pembina.com www.pembina.com
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