Inter Pipeline board rejects unsolicited takeover offer by Brookfield

The board of directors at Inter Pipeline Ltd. has unanimously rejected a hostile takeover offer by Brookfield Infrastructure Partners LP.

The company says the board's decision followed careful consideration, including advice from its financial and legal advisers, and the recommendation of a special committee of independent directors.

The board called the bid highly opportunistic and says it does not reflect the company's full and fair value.

It added that a strategic review of alternatives is already underway.

Brookfield is offering $16.50 per share in cash or 0.206 of a Brookfield Infrastructure Corp. class A exchangeable share, with the maximum cash available set at $4.9 billion.

Brookfield has said it previously discussed prices with Inter Pipeline "in the range of $17 to $18.25" per share but would need to study its books before increasing its offer.