Pembina Pipeline Stock Price, News & Analysis

Pembina Pipeline Corporation (NYSE: PBA) has successfully completed its consent and proxy solicitation for the 4.80% Fixed-to-Fixed Rate Subordinated Notes, Series 1. The company received strong support from Series 1 Noteholders, with over 66 2/3% approving the Extraordinary Resolution before the July 22, 2025 deadline.

The approved amendments will enable the exchange of all outstanding Series 1 Notes for an equal principal amount of 4.80% Fixed-to-Fixed Rate Subordinated Notes, Series 3, due January 25, 2081. Following this approval, Pembina and Computershare Trust Company will execute a Supplemental Indenture to implement the changes. The previously scheduled noteholders meeting for July 28, 2025, has been cancelled.

Pembina Pipeline Corporation (NYSE: PBA) has declared quarterly dividends for its nine series of preferred shares, with payments scheduled across different dates in August, September, and October 2025. The company will also release its second quarter 2025 results on August 7, 2025, after market close.

Dividend payments range from $0.268875 to $0.425875 per share across the different preferred share series. The company has also scheduled a conference call and webcast for August 8, 2025, at 8:00 a.m. MT to discuss the quarterly results, with replay available until August 15, 2025.

Pembina Pipeline Corporation (NYSE: PBA) has initiated a consent and proxy solicitation process for holders of its 4.80% Fixed-to-Fixed Rate Subordinated Notes, Series 1 due January 25, 2081. The company is seeking approval for amendments to the Series 1 Note Indenture that would introduce an Exchange Right allowing noteholders to exchange their Series 1 Notes for an equal principal amount of new Series 3 Notes.

The proposed amendments require approval from 66 2/3% of Series 1 Noteholders, either through written consent by July 22, 2025, or through voting at a meeting scheduled for July 28, 2025. The new Series 3 Notes will maintain similar economic terms but will not include provisions for preferred shares delivery during bankruptcy events, aligning them with the company's existing Series 2 Notes.

If implemented, an Automatic Exchange provision will require all remaining Series 1 Notes to be exchanged for Series 3 Notes if more than 66 2/3% of noteholders exercise their Exchange Right. Noteholders who don't consent to the amendments may experience capital gains or losses for Canadian tax purposes upon automatic exchange.

["Series 3 Notes will maintain the same economic terms as Series 1 Notes, including interest rates and payment dates", "The exchange will align Series 3 Notes with existing Series 2 Notes in payment rights", "Provides noteholders with flexibility through Exchange Right option"]

Pembina Pipeline Corporation has successfully closed a $200 million offering of 5.95% Fixed-to-Fixed Rate Subordinated Notes, Series 2, due June 6, 2055. The offering was led by CIBC Capital Markets, BMO Capital Markets, and Scotiabank. The proceeds will be used to redeem outstanding Cumulative Redeemable Rate Reset Class A Preferred Shares, Series 19, and for general corporate purposes. Additionally, Pembina plans to initiate a consent solicitation from holders of its $600 million Series 1 Notes to amend the indenture, allowing holders to exchange their notes for new Series 3 Notes with similar economic terms but modified bankruptcy-related provisions to ensure equal ranking with Series 2 Notes.

Pembina Pipeline Corporation has announced a $200 million offering of 5.95% Fixed-to-Fixed Rate Subordinated Notes, Series 2, due June 6, 2055. The offering is expected to close around June 6, 2025. The company plans to use the proceeds to redeem its outstanding Cumulative Redeemable Rate Reset Class A Preferred Shares, Series 19, and for general corporate purposes. The notes are being offered through a syndicate led by CIBC Capital Markets, BMO Capital Markets, and Scotiabank. Additionally, Pembina intends to initiate a consent solicitation from holders of its $600 million Series 1 Notes to amend the indenture, allowing holders to exchange their notes for new Series 3 Notes with similar economic terms but modified bankruptcy-related provisions.

Pembina Pipeline Corporation has announced its plan to redeem all 8,000,000 outstanding Cumulative Redeemable Floating Rate Reset Class A Preferred Shares, Series 19 on June 30, 2025. The redemption price is set at $25.00 per share, bringing the total redemption value to $200 million. Shareholders will receive a final quarterly dividend of $0.292750 per share on June 30, 2025, for shareholders of record as of June 16, 2025. After this final dividend payment, there will be no remaining accrued or unpaid dividends on the Series 19 Shares. The company has notified the registered holder of the redemption details in accordance with the terms outlined in their articles of amalgamation.

Pembina Pipeline Corporation (NYSE: PBA) has announced the renewal of its normal course issuer bid (NCIB) program, approved by the Toronto Stock Exchange. The program allows Pembina to repurchase up to 29,045,408 common shares, representing 5% of its issued and outstanding shares. The buyback period runs from May 16, 2025 to May 15, 2026. Daily purchases will be limited to 807,423 shares, 25% of the six-month average daily trading volume. The company believes its shares may occasionally trade at prices that don't reflect their underlying value, making share repurchases an attractive use of financial resources. Notably, under its previous NCIB program, Pembina did not repurchase any shares.

Pembina Pipeline Corporation (NYSE: PBA) held its 2025 annual meeting of shareholders on May 9, with 63.54% of outstanding shares represented. Key outcomes include:

- Election of 11 directors with strong approval ratings, notably J. Scott Burrows receiving 99.59% approval and Alister Cowan with 99.82%

- KPMG LLP was reappointed as auditors with 89.36% approval

- Shareholders approved continuing the company's shareholder rights plan with 93.69% support

- The company's executive compensation approach received strong endorsement with 96.74% approval

Pembina Pipeline Corporation reported strong Q1 2025 financial results with earnings of $502 million, adjusted EBITDA of $1,167 million, and adjusted cash flow from operating activities of $777 million ($1.34 per share). The company announced a 3% increase in quarterly dividend to $0.71 per share, payable June 30, 2025.

The company is trending towards the midpoint of its 2025 adjusted EBITDA guidance range of $4.2-4.5 billion. Revenue increased significantly to $2,282 million, up from $1,540 million in Q1 2024. Pembina continues to benefit from growth across the Canadian energy industry with rising utilization on conventional pipeline systems and at Pembina Gas Infrastructure.

Notable developments include new commercial agreements with a leading Montney producer, progress on various construction projects including RFS IV and Cedar LNG Project, and the acquisition of Enbridge's interests in Alliance joint venture.