TC Energy is on a path to delivering $3 billion in asset divestitures and bolster its balance sheet strength. (Source: Shutterstock)
TC Energy Corp. and its partner Northern New England Investment Co., a subsidiary of Énergir LP, have completed the sale of the Portland Natural Gas Transmission System (PNGTS), the companies announced in an Aug. 16 press release.
The system was sold for a gross purchase price of US$1.14 billion. The buyers will assume US$250 million of outstanding senior notes held at PNGTS and consolidated on TC Energy’s balance sheet, according to the announcement.
TC holds a 61.7% ownership interest in PNGTS and Énergir holds 38.3%. The sale’s cash proceeds will be split pro-rata between the two entities based off their ownership interest.
TC Energy is on a path to delivering $3 billion in asset divestitures and bolster its balance sheet strength, TC President and CEO François Poirier said. The sale brings TC one step closer to delivering on its goal, which includes reaching a 4.75 times debt-to-EBITDA upper limit by the end of the year.
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