TransCanada announced Thursday that all closing requirements for the acquisition of Columbia Pipeline Group have been met, and the filings made for the transaction will take effect July 1.
TransCanada first announced its pursuit to purchase Columbia Pipeline back in March, an all-cash deal worth $10.2 billion. The deal totals at $13 billion including the assumption of debt. As the acquisition closes, Columbia Pipeline will be an indirect wholly-owned subsidiary of TransCanada.
"This acquisition is a tremendous opportunity to obtain a competitively-positioned, growing network of regulated natural gas pipelines and storage assets in the heart of the Marcellus and Utica basins," said TransCanada's president and CEO Russ Girling, according to TransCanada’s statement on Thursday. "With this transaction, we have further diversified our suite of premium assets, added to our near-term growth portfolio and created one of North America's largest regulated natural gas transmission and storage businesses, linking the continent's most prolific natural gas supply basins to its most attractive markets.”
The acquisition names TransCanada as one of North America’s largest regulated natural gas transmission companies with about 56,100 miles (90,300 km) of natural gas pipeline. TransCanada will also be the largest North American natural gas storage business with 664 billion cubic feet of capacity.