TransCanada Completes Sale of U.S. Northeast Power Assets
News Release - TransCanada Corporation today announced that it has completed the sale of its remaining U.S. Northeast merchant power generation assets to Helix Generation, LLC, an affiliate of LS Power Equity Advisors, for approximately US$2.1 billion including a purchase price adjustment as a result of an unplanned outage at Ravenswood prior to close. Proceeds from this transaction will be used to fully retire the remaining acquisition bridge facilities that partially funded the acquisition of the Columbia Pipeline Group.
The sale to Helix Generation, LLC includes four power facilities: Ravenswood, Ironwood, Ocean State and Kibby Wind, which collectively produce close to 4,000 megawatts.
After assessing its options, the company intends to wind down its TransCanada Power Marketing Ltd (TCPM) operations and realize the value of the remaining marketing contracts and working capital over time. Including the closing of this transaction, the prior sale of its hydro generation assets and the wind down of TCPM, TransCanada expects to realize approximately US$3.7 billion from the monetization of its U.S. Northeast merchant power business.
With more than 65 years' experience, TransCanada is a leader in the responsible development and reliable operation of North American energy infrastructure including natural gas and liquids pipelines, power generation and gas storage facilities. TransCanada operates a network of natural gas pipelines that extends more than 91,500 kilometres (56,900 miles), tapping into virtually all major gas supply basins in North America. TransCanada is the continent's leading provider of gas storage and related services with 653 billion cubic feet of storage capacity. A large independent power producer, TransCanada currently owns or has interests in over 6,200 megawatts of power generation in Canada and the United States. TransCanada is also the developer and operator of one of North America's leading liquids pipeline systems that extends over 4,300 kilometres (2,700 miles), connecting growing continental oil supplies to key markets and refineries. TransCanada's common shares trade on the Toronto and New York stock exchanges under the symbol TRP. Visit TransCanada.com and our blog to learn more, or connect with us on social media and 3BL Media.
Date: Jun 5, 2017