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AltaGas Reaches an Agreement to Sell its Interest in the Central Penn Pipeline for $870 Million
AltaGas Reaches an Agreement to Sell its Interest in the Central Penn Pipeline for $870 Mi...
About this update from Altagas Ltd.
[{"type":"text","content":"\n\n\n\nAltaGas Reaches an Agreement to Sell its Interest in the Central Penn Pipeline for $870 Million\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, Sept. 30, 2019\n\n\n\nAltaGas exceeds its 2019 asset sales target with approximately $2.2 billion announced or completed sales to-date\n CALGARY, Sept. 30, 2019 /CNW/ - AltaGas Ltd. (AltaGas) (TSX: ALA) announced today that it has entered into a definitive agreement for the sale of its indirect, non-operating interest in the Central Penn Pipeline (Central Penn) held by its subsidiary WGL Midstream, Inc. (WGL Midstream) to Meade Pipeline Investment, LLC, a subsidiary of NextEra Energy Partners, LP. Total gross proceeds for WGL Midstream's interest is approximately $870 million (US$657 million). AltaGas' estimated 2019 cash flow and normalized EBITDA for the Central Penn Pipeline is approximately US$49 million and US$39 million, respectively. The transaction is expected to close in the fourth quarter of 2019 and is subject to customary closing conditions and regulatory approvals. \n'We have exceeded our asset sales guidance range for this year, and we are well positioned to focus on executing against our unique value proposition,\" said Mr. Randy Crawford, President and Chief Executive Officer of AltaGas.  \"In 2019, we have increased our financial flexibility and delevered our balance sheet. Operationally, our volumes at RIPET are at targeted levels, and we are focused on achieving more timely recovery of investments at our Utilities.  As we enter 2020 in a stronger position, we remain firmly focused on the future and unlocking the significant organic growth potential of our Midstream and Utilities assets,\" continued Mr. Crawford.\nAltaGas has now announced or completed approximately $2.2 billion in asset sales, which exceeds the top end of the previously announced $1.5 - $2.0 billion asset sales program targeted for 2019, including the sale of its portfolio of U.S. distributed generation assets for $940 million (US$720 million) whi...