All financial figures are in Canadian dollars, unless otherwise noted.
Jan. 16, 2014
/PRNewswire/ - Pembina Pipeline Corporation ("Pembina" or the "Company") (TSX: PPL; NYSE: PBA) is pleased to announce that it has closed its previously announced public offering of 10,000,000 cumulative redeemable rate reset class A preferred shares, series 5 (the "Series 5 Preferred Shares") for aggregate gross proceeds of
The Offering was announced on
January 7, 2014
when Pembina entered into an agreement with a syndicate of underwriters. Due to strong investor demand, the size of the Offering was increased from an originally proposed offering of 6,000,000 Series 5 Preferred Shares plus an underwriters' option to purchase up to an additional 2,000,000 Series 5 Preferred Shares (for aggregate gross proceeds of
assuming the underwriters' option had been exercised in full).
Proceeds from the Offering will be used to partially fund Pembina's 2014 capital expenditure program, including capital expenditures relating to Pembina's current expansion and growth projects, to reduce indebtedness under the Company's credit facilities, and for general corporate purposes of the Company and its affiliates.
The Series 5 Preferred Shares will begin trading on the Toronto Stock Exchange today under the symbol PPL.PR.E.
Pembina's Board of Directors also declared an initial dividend of
per Series 5 Preferred Share for the period from
January 16, 2014
February 28, 2014
which is payable on
March 1, 2014
to shareholders of record at the close of business on
February 1, 2014
Future dividends on the Series 5 Preferred Shares are expected to be
per share on an annualized basis, payable on the 1st day of March, June, September and December, as and when declared by the Board of Directors of Pembina, for the initial fixed rate period to but excluding
June 1, 2019
All of Pembina's dividends are designated "eligible dividends" for Canadian income tax purposes.