TC Energy is exploring stake sales of assets worth US$10 billion
BNN Bloomberg
Pipeline and transportation company TC Energy Corp. is pursuing a multibillion-dollar asset sale plan to reduce debt and fund new investments, according to people familiar with the matter.
The Calgary-based company is working on a the sale of a minority stake in the ANR Pipeline Co., which it has ascribed an enterprise valuation of about $3 billion, said the people, who asked not to be identified because they weren’t authorized to speak publicly.
TC is also looking at selling a minority of its Mexican operation, which has annual earnings before interest, taxes, depreciation and amortization of about $600 million. Other potential transactions include a controlling stake in the Portland Natural Gas Transmission System and a significant minority stake in the Millennium Pipeline, both of which have enterprise values of more than $1 billion, the people said.
In all, those assets have a combined value of about $10 billion, although the stake-sale transactions would constitute only a portion of that total, the people said.
