$848 million USD is being proposed by TransCanada Corp to buy overall equity which is in the possession of Columbia Pipeline Partners LP in order to have their pipeline that expands from New York to the Gulf of Mexico solidified. The offer by the company to other investors in the limited partnership that is based in Houston follows the acquisition of the Columbia Pipeline Group by TransCanada. The deal was worth $13 billion USD, with $2.8 billion debt inclusive.
Since the 1st of July, TransCanada became a major partner of Columbia Pipeline Partners LP and the announcement that was earlier made points out that they plan to have the other investor in CPPL bought for $15.75 USD per common unit. The deal is 11.3 per cent more than the one-month average closing price for the partnership units, the units closed off at $15.30.
The deal that was proposed is subject to certain circumstances which includes consent from the U.S. anti-trust law and most of the unitholders at CPPL. The offer is worth $848 million US dollars, which is close to $1.12 Canadian dollars.