Keyera Corp. has successfully finalized the purchase of Plains All American Pipeline L.P.’s Canadian natural gas liquids division, sealing the deal for $5.3 billion with adjustments included. Despite facing opposition from the Competition Bureau, the acquisition was completed on Tuesday.
The Competition Bureau has raised concerns about the transaction’s potential negative impact on energy producers and investment, leading them to challenge the deal at the Competition Tribunal. The main focus of the dispute revolves around competition at the primary natural gas liquids processing center in Fort Saskatchewan, Alberta.
Keyera has expressed disagreement with the regulator’s claims and the way the deal has been portrayed. The company plans to address these issues through the Competition Tribunal process. They maintain confidence that the acquisition will enhance competition in the region by establishing a more efficient Canadian competitor with broader connectivity and market access.
The Competition Bureau’s challenge to the proposed merger in the natural gas sector, particularly concerning Keyera Corp.’s acquisition of Plains All American Pipeline, is aimed at safeguarding fair competition in the marketplace.