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The latest announcement is out from Plains GP Holdings ( (PAGP) ).
On May 12, 2026, a Plains All American subsidiary completed the previously announced sale of Plains Midstream Canada ULC, which held substantially all of its Canadian NGL business, to Keyera Corp. for approximately CAD 5.13 billion (about USD 3.76 billion), generating net cash proceeds of roughly USD 3.3 billion after taxes and expenses.
Plains is using the proceeds to reduce leverage by repaying commercial paper, a $1.1 billion senior unsecured term loan entered into on November 26, 2025 and funded December 1, 2025, and its 4.50% senior notes due December 2026, and it plans to terminate the term loan agreement effective May 14, 2026. Management said the divestiture, coupled with its Cactus III acquisition, completes Plains’ transformation into a pure-play crude oil midstream company, positioning it with a more durable, less commodity-sensitive business, a leverage ratio trending toward the middle of its 3.25x–3.75x target range, and a strengthened balance sheet for disciplined growth and capital returns.
In connection with closing the Canadian NGL sale on May 12, 2026, Plains and Keyera entered into transition services agreements under which each will provide certain services to support the transfer of the divested business. Plains also reiterated that it does not expect to pay a special distribution following the transaction, as tax liabilities to unitholders from the divestiture are anticipated to be offset by bonus depreciation associated with the Cactus III acquisition.
The most recent analyst rating on (PAGP) stock is a Buy with a $25.00 price target. To see the full list of analyst forecasts on Plains GP Holdings stock, see the PAGP Stock Forecast page.
Spark’s Take on PAGP Stock
According to Spark, TipRanks’ AI Analyst, PAGP is a Outperform.
The score is driven by strong cash generation and a favorable valuation (low P/E and high yield), supported by an earnings-call guidance raise and a credible deleveraging plan tied to the NGL sale. The main offsets are thin margins and leverage/structure variability, while technicals point to a neutral near-term setup despite a longer-term uptrend.
To see Spark’s full report on PAGP stock, click here.
More about Plains GP Holdings
Plains All American Pipeline, L.P. is a publicly traded master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil. It runs an extensive network of pipeline gathering and transportation systems, along with terminalling, storage and related assets serving key producing basins, transportation corridors and major market hubs and export outlets in the United States and Canada.
Plains GP Holdings, L.P. is a publicly traded entity that owns an indirect, non-economic controlling general partner interest in Plains All American and an indirect limited partner interest in one of North America’s largest energy infrastructure and logistics companies. Both Plains All American and Plains GP Holdings are headquartered in Houston, Texas and focus on crude oil midstream operations across North America.
Average Trading Volume: 1,956,740
Technical Sentiment Signal: Buy
Current Market Cap: $17.67B
Find detailed analytics on PAGP stock on TipRanks’ Stock Analysis page.