Plains All American To Sell NGL Business To Keyera For $3.75 Bln

(RTTNews) - Plains All American Pipeline, L.P. (PAA) and Plains GP Holdings (PAGP)announced that it has executed definitive agreements with Keyera Corp. (KEY.TO) pursuant to which Plains will sell substantially all of its NGL business to Keyera for a total cash consideration of approximately C$5.15 billion or $3.75 billion.

The transaction is expected to close in the first quarter of 2026, and is subject to customary closing conditions, including regulatory approvals.

As a result of the transaction, Plains will divest its Canadian NGL business but will retain substantially all NGL assets in the United States and will also retain all crude oil assets in Canada.

"Today's announcement is a win-win transaction for both Plains and Keyera. Plains is exiting the Canadian NGL business at an attractive valuation while Keyera is receiving highly complementary and critical infrastructure in a strategic market," said Willie Chiang, Chairman and CEO.

Proceeds from the transaction are expected to be approximately $3.0 Billion net. The estimated $0.35/unit special distribution is intended to offset potential individual tax liabilities associated with the transaction and is subject to Board approval, ultimate tax implications, and successful closing of the transaction.