Brookfield Infrastructure has reached an arrangement to buy all remaining Inter Pipeline common shares and own 100% of the company, bringing to a close several months of wrangling.
Brookfield initially launched a hostile takeover offer for Inter Pipeline in February 2021. Inter Pipeline said that it undervalued the company and went on to recommend a higher rival offer from Pembina. However, following a revised bid from Brookfield, Inter Pipeline later rejected the Pembina offer, which was terminated, and instead recommended Brookfield’s higher offer. That offer period expired on 3 September 2021, and with the shares tendered under that offer, Brookfield owned 76.4% of the company’s common shares.
Once the tender offer expired, Brookfield entered into the arrangement with Inter Pipeline to buy all remaining shares and own 100% of Inter Pipeline’s common shares. Following the completion of this transaction. Brookfield will apply to delist Inter Pipeline’s common shares from the Toronto Stock Exchange in Canada, where they currently trade.