TransCanada Intends To Wind Down Power Marketing Business

TransCanada announced that, "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."

TransCanada made the disclosure in announcing the completion of 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.

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.

Including the closing of the above transaction, the prior sale of its hydro generation assets and the wind down of TransCanada Power Marketing, TransCanada expects to realize approximately US$3.7 billion from the monetization of its U.S. Northeast merchant power business.