PSX, ENB, DCP -- Michael Fitzsimmons Weighs In -- August 22, 2022

Link here.

• Last week, Phillips 66 made a big move to increase its economic interest in DCP Midstream.
• First, PSX announced it increased its stake in DCP from 28.26% to 43.31% by buying some of Enbridge's stake in what used to be a 50/50 joint venture.
• The next move PSX made was to announce a bid for all of the outstanding publicly held shares of DCP Midstream's LP for $34.75/unit.
• This appears to be part of a longer-term plan to enable PSX and Enbridge to effectively dissolve the DCP JV in order to simplify their corporate structure while "keeping to their knitting".