DivestmentMay 8, 2026, 04:52 PM
Plains GP Holdings to Divest Canadian NGL Business for $3.75B
AI Summary
Plains GP Holdings reported its first-quarter 2026 financial results, alongside significant updates on the pending divestment of its Canadian NGL Business. The company plans to sell the business to Keyera Corp. for approximately $3.75 billion, with the transaction expected to close in May 2026. This strategic move led to a current income tax expense of $216 million from continuing operations and a loss from discontinued operations, significantly impacting net income attributable to PAGP, which fell to $20 million from $84 million year-over-year, despite an increase in total revenues to $12,470 million.
Key Highlights
- Plains GP Holdings plans to divest its Canadian NGL Business to Keyera Corp. for approximately $3.75 billion.
- Net income attributable to PAGP for Q1 2026 was $20 million, a decrease from $84 million in Q1 2025.
- Total revenues increased to $12,470 million in Q1 2026, up from $11,477 million in Q1 2025.
- Income from continuing operations attributable to PAGP was $48 million in Q1 2026, compared to $46 million in Q1 2025.
- Loss from discontinued operations attributable to PAGP was $(28) million in Q1 2026, versus income of $38 million in Q1 2025.
- Basic and diluted net income per Class A share was $0.10 in Q1 2026, down from $0.42 in Q1 2025.
- Current income tax expense from continuing operations was $(216) million, primarily due to restructuring for the divestiture.
- Cash and cash equivalents decreased to $172 million as of March 31, 2026, from $329 million at December 31, 2025.