BRIEF-Pembina Pipeline to acquire Vantage Pipeline System, stake in Saskatchewan ethane plant

Thu Sep 4, 2014 3:47am EDT
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Sept 4 (Reuters) - Pembina Pipeline Corp :

* Has entered into agreements to acquire Vantage Pipeline System and Mistral Midstream Inc.'s interest in saskatchewan ethane extraction plant for total consideration of us$650 million

* Deal subject to traditional closing adjustments from certain entities affiliated with Riverstone Holdings LLC

* Anticipates incurring additional capital expenditures of approximately c$100 million (net to Pembina) prior to end of 2015 in connection with transaction

* Is also acquiring pipeline infrastructure from Mistral and Mistral's interest in SEEP

* Intends to use cash of us$395 million and us$255 million in common shares to fund transaction

* Expects to fund a portion of cash consideration with a bought-deal preferred share issuance and existing credit capacity

* us$255 million common share portion will result in 5.61 million shares being issued to seller Source text for Eikon: Further company coverage: