The agreement is with Heartland Generation Ltd, an affiliate of Energy Capital Partners. In the deal, Canadian Utilities will sell 11 partly or fully owned natural gas-fired and coal-fired electrical generation facilities in Alberta, British Columbia and Ontario, according to CTV News.
The 11 electrical generating plants have a combined generating capacity of about 2,100 megawatts (MW).
Canadian Utilities has also signed an agreement to sell its 50 percent stake in the Cory Cogeneration Station near Saskatoon to SaskPower International.
The Ashcor Technologies, Oldman River Hydro Facility or any international projects are not included in the deal, according to the Financial Post.
RBC Capital Markets and J.P. Morgan are acting as the joint financial advisors to Canadian Utilities. The sale is expected to close in the second half of this year.
Following the closure of the agreements, Canadian Utilities will have about 250 MW of electrical assets located in Canada, Mexico and Australia.
Canadian Utilities has approximately 5,200 employees and assets of $21 billion. The company is a subsidiary of ATCO, a large Canadian holding company with nearly 7,000 employees. Its subsidiaries are diverse but most are in either the gas/electricity, construction, or logistics.
