The Pembina Pipeline Corporation has officially acquired the US portion of the Cochin Pipeline from Kinder Morgan Incorporated (KMI).
The US portion of the Cochin Pipeline extends from the Kinder Morgan station near Riga, Michigan, to the International Boundary near Maxbass in North Dakota, US.
Under the closed agreement, KMI will receive .3068 shares of Pembina for each KML share, which is an exchange ratio resulting in 25 million shares of Pembina stock.
Ultimately, KMI anticipates to convert the shares into money in a non-disruptive manner.
Additionally, KMI intends to use proceeds from the Pembina transactions to pay down debt and create approximately US$1.2 billion of balance sheet and borrowing flexibility in 2020.
For more information visit the Kinder Morgan website.
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